| Author | Message | ||
     Conquas Junior Artist Username: Conquas Post Number: 271 Registered: 11-2011 Posted From: 99.82.251.78 Rating: N/A |
Brother... I am bullish on monsanto is because of $ fluctuations against other currencies.... Especially €,other europian currencies and Indian rupee etc.. I am looking for decent 5 to 10% movies from 3rd Jan to earnings... After earnings these premiums will come down alot... I like your strategy very much.. I stopped gamble with margin... In order to sell those calls and puts... I should have stock or play with margin... My strategy will pay me... If there is any drastic move in either directions... I am expecting that that move is going to happen due to $ fluctuations against other currencies... I maybe wrong... I have played with ge, bought 20 calls and puts on the same month expiration date couple of earnings seasons back... My strategy paid off.. Gambled with $500... Made decent profit on it... all opinions expressed here are mine.. please follow at your own risk.... | ||
| Bar_and_ha_cub Junior Artist Username: Bar_and_ha_cub Post Number: 210 Registered: 09-2011 Posted From: 174.63.84.29 Rating: N/A |
Looks a Long Strangle(little out of the money) -- High Volatility bet, I am not familiar with the underlying so I cannot speak about its movement. But the 52 week chart when mapped against S&P, seems to be following broad market movements except in second quarter of last year. Is there anything special about the upcoming earnings? Although earning are considered for event driven strategies, I personally feel that Straddles and Strangles pay off better when played on events which can have detrimental effects on parts of the business, such as Patent suits, FDA approvals and so on. If I have to play this - I would finance my position by selling way out of the money calls & puts. For Example -- Sell Two 80 Calls @ 0.14 -- 0.28 Sell Two 60 Puts @ 0.15 -- 0.30 BUY One 72.50 Call @ 1.09 -- 1.09 BUY One 67.50 Put @ 1.28 -- 1.28 This way, if the stock really did not move much - you can let the Out of the money options expire and collect on 58 cents, apart from the pay off from your Strangle. | ||
| Conquas Junior Artist Username: Conquas Post Number: 270 Registered: 11-2011 Posted From: 99.82.251.78 Rating: N/A |
Buy January 2012 67.5 puts Buy January 2012 72.5 calls MON is releasing their quarter earnings on Jan 5th before market open... For this strategy... You have to spend 2.37... Jan is good month for MON.... Tell me u r opinion.... all opinions expressed here are mine.. please follow at your own risk.... |
