HUN (basic materials) currently has an implied volatility rank of 64 and an implied volatility of 60, and the premium to the call side for slightly out of the money calls is sufficiently rich to lower the cost basis in a long stock position to a favorable break even metric (Feb 19 12 short calls currently .77 at the mid price).

Here's the basic setup:

100 HUN long shares at 11.41
1 Feb 19th short 12 call
Entire Package: 9.72 ($972) (making your break even at 9.72/share, excluding fees/commissions)
Max Profit: $228 if called away at $12

Notes: Naturally, I'm looking at off hours prices here with wide spreads on the underlying and on the short call, so you'll no doubt want to reexamine the setup come Monday NY open.
Comment: Filed for 10.50.
Comment: Covered the short call for a .05 debit and sold another short call above my cost basis somewhat out in time -- the Aug 19th 12 short for a .35 credit, further reducing cost basis.
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out