Conservative Options Trades

Discussion in 'Journals' started by danshirley, Aug 21, 2011.

  1. Wireless:
    http://www.fool.com/investing/gener...r-att-can-you-guess-which-wireless-brand.aspx
    http://finance.yahoo.com/q/bc?s=T&t=2y&l=off&z=l&q=l&c=VZ
    VZ:
    http://finance.yahoo.com/q/bc?t=2y&l=on&z=l&q=l&p=&a=&c=&s=vz&ql=1
    http://finance.yahoo.com/q/ks?s=VZ+Key+Statistics
    http://investing.money.msn.com/investments/financial-statements?symbol=VZ

    Trade:
    With VZ at 47.12
    Jan '15 40/35 bull put spread for a net credit of $49
    Yield = 49/451 = 10.86% in 258 days or 15.4% annualized
    Prob = 93%
    Expectation = .93(49) - .01(451) - .06(226) = 45.6 - 4.51 - 13.6 = 27.5
     
    #741     May 3, 2014
  2. Wireless c'td:
    http://www.fool.com/investing/gener...r-att-can-you-guess-which-wireless-brand.aspx
    http://finance.yahoo.com/q/bc?s=T&t=2y&l=off&z=l&q=l&c=VZ
    T:
    http://finance.yahoo.com/q/bc?s=T&t=2y&l=on&z=l&q=l&c=
    http://finance.yahoo.com/q/ks?s=T+Key+Statistics
    http://investing.money.msn.com/investments/financial-statements?symbol=T
    Trade:
    With T at 35.63
    Jan '14 30/25 bull put spread for a net credit of $37
    Yield = 37/463 = 7.99% in 258 days or 11.3% annualized
    Prob = 93%
    Expectation = .93(37) - .01(463) - .06(232) = 34.4 - 4.63 - 13.9 = 15.9

    Remarkably similar trades but with a slight edge to VZ
     
    #742     May 3, 2014
  3. LNKD:

    http://finance.yahoo.com/news/bear-day-linkedin-lnkd-050021595.html

    http://online.wsj.com/news/articles...79536043981760728.html?ru=yahoo?mod=yahoo_itp

    http://finance.yahoo.com/news/linkedin-price-target-lowered-141-115253016.html

    http://finance.yahoo.com/news/linkedin-price-target-lowered-225-103529524.html

    http://www.bloomberg.com/video/how-...-money-T~RNzo2nSfW5PCLBlWPhfQ.html?cmpid=yhoo

    http://finance.yahoo.com/q/bc?s=LNKD&t=2y&l=off&z=l&q=l&c=

    Trade:
    With LNKD at 147.73
    Nov 165/160 bear put spread for a net debit of $390

    Price.................Profit / Loss................ROI %
    110.80............... 110.00.................... 28.21%
    129.12............... 110.00.................... 28.21%
    148.40............... 110.00.................... 28.21%
    147.73................110.00.....................28.21%
    160.00............... 110.00.................... 28.21%
    161.10...................... 0.00...................... 0.00%
    165.00.............. (390.00).............. -100.00%
    167.68.............. (390.00).............. -100.00%
    186.97.............. (390.00).............. -100.00%
    206.25.............. (390.00).............. -100.00%

    Alternate trade:
    Nov 165/170 bear call spread for a net credit of $115


    Price.................Profit / Loss...............ROM %
    110.80............... 115.00..................... 23.00%
    130.32............... 115.00..................... 23.00%
    147.73.................115.00.....................23.00%
    150.86............... 115.00..................... 23.00%
    165.00............... 115.00..................... 23.00%
    166.15..................... 0.00........................ 0.00%
    170.00............... (385.00)................ -77.00%
    171.41............... (385.00)................ -77.00%
    191.95............... (385.00)............... -77.00%
    212.50............... (385.00).............. -77.00%

    Debit or credit in the end it's all the same... more or less.
     
    #744     May 5, 2014
  4. LNKD Ctd

    http://stockcharts.com/h-sc/ui?s=lnkd

    What about a bullish LNKD trade?

    with LNKD at 150.73

    Nov 100/95 bull put spread for a net credit of $46


    Price................Profit / Loss.................ROM %
    71.25.................. (454.00).................... -90.80%
    93.66.................. (454.00).................... -90.80%
    95.00.................. (454.00).................... -90.80%
    99.54.......................... 0.00.......................... 0.00%
    100.00.................... 46.00.......................... 9.20%
    117.25.................... 46.00.......................... 9.20%
    140.85.................... 46.00.......................... 9.20%
    164.44.................... 46.00.......................... 9.20%
    188.03.................... 46.00.......................... 9.20%
     
    #745     May 5, 2014
  5. TSLA:

    http://www.bloomberg.com/news/2014-...-deliveries-credit-sales-slow.html?cmpid=yhoo

    http://finance.yahoo.com/q/is?s=TSLA

    http://finance.yahoo.com/q/ks?s=TSLA+Key+Statistics

    http://stockcharts.com/h-sc/ui?s=tsla

    Trade:
    With TSLA at 207.28
    May 230/235 bear call spread for a net credit of $90

    Price...................Profit / Loss..................ROM %
    155.46.................. 90.00........................... 22.00%
    182.00.................. 90.00............................ 22.00%
    207.28...................90.00..............................22.00%
    209.94.................. 90.00 ............................ 22.00%
    230.00.................. 90.00 ............................ 22.00%
    230.90..................... 0.00 ................................0.00%
    235.00.............. (410.00)......................... -82.00%
    237.88.............. (410.00)......................... -82.00%
    265.81.............. (410.00)......................... -82.00%
    293.75.............. (410.00)......................... -82.00%
     
    #746     May 7, 2014
  6. CAH:

    http://finance.yahoo.com/news/cardinal-health-fiscal-3q-profit-122404655.html

    http://stockcharts.com/h-sc/ui?s=CAH

    Trade:
    with CAH at 63.83
    June 65/62.5 bear put spread for a net debit of $140


    Price......................Profit / Loss............ROI %
    46.88........................ 110.00............... 78.57%
    53.47........................ 110.00............... 78.57%
    60.42........................ 110.00............... 78.57%
    62.50........................ 110.00............... 78.57%
    63.60.............................. 0.00................... 0.00%
    65.00....................... (140.00)......... -100.00%
    67.36....................... (140.00)......... -100.00%
    74.31....................... (140.00)......... -100.00%
    81.25....................... (140.00)......... -100.00%
     
    #747     May 7, 2014
  7. CVD:

    http://finance.yahoo.com/news/covance-posts-line-q1-earnings-183004477.html

    http://finance.yahoo.com/q/ks?s=CVD+Key+Statistics

    http://investing.money.msn.com/investments/financial-statements?symbol=cvd

    http://finance.yahoo.com/q/bc?s=CVD&t=2y&l=off&z=l&q=l&c=

    Trade:
    With CVD at 82.38
    Nov 65/60 bull put spread for a net credit of $55
    Yield = 55/445 = 12.36 % in 196 days or 23% annualized
    Prob = 90%
    Expectation = .9(55) - .04(445) - .06(223) = 49.5 - 17.8 - 13.4 = 18.3


    Price.................Profit / Loss..............ROM %
    45.00................... (445.00)................. -89.00%
    55.00................... (445.00)................. -89.00%
    60.00................... (445.00)................. -89.00%
    64.45........................... 0.00........................ 0.00%
    65.00........................ 55.00..................... 12.36%
    70.00........................ 55.00...................... 12.36%
    80.00........................ 55.00...................... 12.36%
    90.00........................ 55.00...................... 12.36%
    100.00..................... 55.00...................... 12.36%
     
    #749     May 9, 2014
  8. SLAB:

    http://finance.yahoo.com/news/bear-day-silicon-labs-slab-050024830.html

    http://online.barrons.com/news/arti...1904579557800004865112?mod=BOL_hp_highlight_1

    http://stockcharts.com/h-sc/ui?s=slab

    SLAB is looking for a breakout up or down. I think up is unlikely

    http://finance.yahoo.com/q/ks?s=SLAB+Key+Statistics

    http://finance.yahoo.com/q/bc?s=SLAB&t=2y&l=on&z=l&q=l&c=

    Trade:
    With SLAB at $45.00

    Oct 45/40 bear put spread for a net debit of $230

    Price..............Profit / Loss...................ROI %
    30.00.................. 270.00................... 117.39%
    35.00.................. 270.00.................... 117.39%
    40.00.................. 270.00.................... 117.39%
    40.34.................. 235.90..................... 102.57%
    42.70........................ 0.00........................... 0.00%
    45.00................. (230.00)................. -100.00%
    45.64................. (230.00).................. -100.00%
    50.95................. (230.00).................. -100.00%
    56.25................. (230.00).................. -100.00%
     
    #750     May 13, 2014