much ignorance here a usual. doesn't anyone ever check their bs? 50 cents is right. it was 5% out of the money and I believe it was a WARN not a scheduled earn. And forget your pipe dreams, none of you is ever gonna have one like that unless you are prepared to buy 100 that go out at zero.
Thanks, that makes sense. I thought they had an earnings call and guided down. The .50 premium makes a lot more sense now.
looks like a classic case of complacency, wish this stock was on my radar. But this is still nuts, the stock has a last trade of $70 on my screen, that's a 30%+ drop.....
When I first started trading, I would often search for stocks that had fallen badly over period of time to buy calls and high flyers (like this one) to buy puts. It was a good strategy and I had a couple home runs, but nothing like this one!
There was a guy who traded for a living in the option pits in the 1980s that would buy out of the money options, and finance them with butterflies. He made over $100 million in the crash of 1987.
long the atm flies and otm strangle? i dont see how he can do this consistently to breakeven or make money each month waiting for that crash.
OK, I spent 30 minutes looking for the guy's name on google and it eludes me. I read an interview somewhere, maybe a major business journal or maybe one of the market wizard books.