bro--- one day -- not too far away--- you are going to take all that risk inherent in selling FIFTEEN naked puts for a mere 25 CENTS--- and you are going to get hammered by the Black Swan. Mark my words what is the reward in selling NAKED anything for 25 cents unless your account is 1/2M or more.... and even then why not find better opportunities? How much do you make if all 15 puts expire worthless? AND your cavalier attitude that it is "free" money guarantees you will get blind-sided for a HUGE loss one day. bonne chance
by the way-- I think I urged all "My Options Play" thread readers to get into BBY calls when it traded down to 43.80-44-- I haven't looked yet today but is BBY higher??? :eek: :eek: WOW-- it is -- almost FIFTY DOLLRS! (of course what isn't hgher?) OK--- lets sell calls short-- I am long BBY Jan50c-- now I am short the Dec 50c - I may buy some March 53 calls - and sell BBY Jan 53c (the 53.375 actually) ALSO--- re-bought my AAPL January puts -- I moved into the Jan 62.50p @2.275- looking to sell the Jan 57.50p IF we ever see AAPL pullback significantly (spread). Still think AAPL gets hammered in January. Of course while I looked for a top I gave up susbtantial profits by not trading with the trend. I'm sure I am not alone! --- IF I was a really really good trader --- would have bought AAPL CALLS last week instead of top-fishing the past 10 days. It's just that I found it difficult to get into AAPL after it's large move since October--
BBY take a look at BBY Dec50c and BBY Dec 47.50c a trade crossed for 1,871 contracts (3.35/1.85) -- someone is either trying to make $1.50 or a $1 depending upon whether this is a bear or bull spread. any thoughts on this sizeable trade?
Probably somebody bets that this runup will be interrupted by a pullback, so I think it was initiated as a bear call spread.
BBY Technicals point to lower price action but something tells me the rally will continue into $52. 47.5/50 DEC CALLS are seeing peak interest now so i can see why one would sell them thinking that volatility will implode. Thanks for the heads up.
i tend to agree with that assessment - there is an awful lot of open front month Dec 47.50/50c on BBY- however- with substantially less puts - so we need to bear that in mind when looking out to expiry -
geeeezz - Hmmmmm --- wondering if my OVTI call (see above) was a good one--- ???? I dont know -- it's only up 50% IN A MONTH since I recommended it. Not much! well -- better to be lucky than good maybe we gotta start looking at a short in this one -- Ice (sorry- but we all gotta pat ourselves on the back once in a while for getting lucky)
VLO ok-- I'm going to enter VLO 100 calls for Dec -still long Dec 115c which are toast -- unless I can re-sell some 110c for > 1.20 ((which I did sell & then close for profit twice now as part of my VLO backspread fiasco)) -- so my open 115c have a much lower cost basis now. -- IF I can get these Dec 100s for 3.9 or better I wil look for a target of 7.50-8 exit price - just a hunch - basically risk 1 to make 1 -- might be wrong here since oil has been underperforming but maybe some dough comes out of tech and back into oil - let's see what happens bonne chance p.s. notice AAPL has sold off a little
Oil has put in a ST base pattern with this recent churning. I think it will firm up in Dec. Why not buy the 105's for $2.05 ? VLO can easily trade back into $115 with higher crude and refined products pricing. I will point out the recent selling by executives in other oil related stocks i.e. APA.