When l entered the trade msft looked a sure winner on the monthly chart (hope my chart shows, screen shot taken that sec), then it dropped significantly, thats when l started worrying. rolling the two november 37calls down to one oct 18 34 call looks a better prospect than it was before no? in prospect of minimising loss or even profit (l do expect it is more likely to increase in price than decrease, but who knows!)
You got caught by an unexpected announcement, the Nokia purchase . MSFT took a 5% hit, very unusual for MSFT to drop like that.
Just in looking at your chart...what I see is pretty much range bound since 1998 (other than the big dip which the market overall made as well in 08). Right now its in the high end of your range so I don't see much upside. That is how I'm reading the chart..fwiw... To make your call work out you do need a pretty good move which is a lot to ask for in Sep/Oct. Of course it could happen, and you are trading very small. Thats the key. You won't get hurt much.
yep it was that nok annoucement, I was clueless about this. and even if l knew, wouldnt expect such an extreme reaction from msft. opinions please ... "rolling the two november 37calls down to one oct 18 34 call looks a better prospect than it was before no? in prospect of minimising loss or even profit (l do expect it is more likely to increase in price than decrease, but who knows!) "