Some guy bought a bunch of GE puts for 5,10 sold 7.50

Discussion in 'Options' started by noob_trad3r, Jan 20, 2009.

  1. That butterfly was a bad bet in my opinion.


    Funny is I wrote a bunch of calls on my prexisting GE stock yesterday with a strike of 13 for Feb. at 1.36

    Cash in on that Theta :)

    (I wrote puts for 13 for GE FEB as well cash secured to either acquire new shares or capture premium. )

    My puts are deep in the money but I wrote them for some good premium so my costbasis will be nice.

    But those calls I wrote, wow price implosion from thursday to friday.

    So come feb I will own lots of GE or NO GE.

    Anyhow GE has been good to me :) Premium cashcow + dividends.
     
    #11     Jan 23, 2009