This is a stock many Real life traders are in from a previous put sale.
Doing a $46 covered call (if called away up there) would be profitable.
However, the stock WAS already below $33 at one point. Therefore, buying that put as protection
and selling the shorter term put will decrease the costs of the insurance and IF those who got put
get called away, it SHOULD be for a gain.
:-)
Doing a $46 covered call (if called away up there) would be profitable.
However, the stock WAS already below $33 at one point. Therefore, buying that put as protection
and selling the shorter term put will decrease the costs of the insurance and IF those who got put
get called away, it SHOULD be for a gain.
:-)
Comment:
What a great collar this one has been. :-) Planning on getting into ANOTHER one next week. :=-)
Thanks for helping us Enrich Lives!
