Jimbo's Option Spread Journal

Discussion in 'Journals' started by jllm03, Aug 8, 2006.

  1. jllm03

    jllm03

    New Spread play today....
    PEIX (Ethanol Play)
    With the President speech tonight, and mentioning of alternative fuels, I am going to play this spread looking for a continuation in the stock price advancing. Today PEIX was also Upgraded to "outperform".

    BTO 50 FEB 17.5 puts @ .95 (debit $4,875.00 with comm.)
    STO 50 Feb 20 puts @ 2.25 (credit $11,175 minus comm.)
    Total net credit of $6,300.

    I may not stay in this spread until expiration. It depends on how the stock behaves the next couple days. Let's see how the speech goes.
     
    #91     Jan 23, 2007