cheap MSFT synthetic 30 call for March

Discussion in 'Options' started by hajimow, Feb 19, 2008.

  1. only 30.30. You might only lose 30 cents with a huge profit. Risk reward ratio sounds excellent.
  2. S2007S


    wait till HPQ announces earnings to take that trade on...
  3. This morning it was 30.50. I think if the news is good, it will go to 30.80 range.
  4. Thanks for bringing up my last prediction. In that post I mentioned the chance is low. I also put a limit of $100. I did not mention to jump in with both feet.
    Again in my current post I mentioned the risk is 30 cents per share. Not more. The reward is very high.
  5. OK, I'll bite. Why the synthetic call over the natural?
  6. Synthetic call= Buy the stock and also buy put
    Synthetic call 30 March = Buy MSFT stock and buy PUT 30 March
  7. WHY?
  8. Because we are here to make a trade and either make money or lose money :D

    What is your argument for taking two transaction so achieve what you can do in one transaction- simply buying the call!

    Surprise, the $30 Call can be bought as of close today at $.37.
    #10     Feb 19, 2008