http://sovereignspeculator.com/2010/01/08/old-faithful/ Thoughts on the markets and the decline of the west Mon, 20 Dec 2010 22:04:07 +0000 http://wordpress.org/?v=2.6 http://sovereignspeculator.com/2010/01/08/old-faithful/#comment-8138 Pej Fri, 08 Jan 2010 21:25:26 +0000 http://sovereignspeculator.com/?p=3271#comment-8138 i just bought myself a couple 115 put contracts for feb2010 expiry. kind of betting on a short term correction... wait&pray i just bought myself a couple 115 put contracts for feb2010 expiry.
kind of betting on a short term correction… wait&pray

]]> http://sovereignspeculator.com/2010/01/08/old-faithful/#comment-8137 Mike Fri, 08 Jan 2010 21:21:32 +0000 http://sovereignspeculator.com/?p=3271#comment-8137 Yes, a 10% drop this winter would likely take those to $9 or $10. Yes, a 10% drop this winter would likely take those to $9 or $10.

]]> http://sovereignspeculator.com/2010/01/08/old-faithful/#comment-8136 PEJ Fri, 08 Jan 2010 21:02:37 +0000 http://sovereignspeculator.com/?p=3271#comment-8136 Well, 90 when SPY is currently around 115 is a 20% drop, plus your 6$ for the option price is 4% of the current value. Meaning that you need a 24% drop at expiry to get even... but of course, if vol starts to climb, you will make money before that... Well, 90 when SPY is currently around 115 is a 20% drop, plus your 6$ for the option price is 4% of the current value. Meaning that you need a 24% drop at expiry to get even… but of course, if vol starts to climb, you will make money before that…

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