Hey,
Then you need to inform me of that, you know I like to know what you are up to..
And about the in the money versus the near the strike..
Right now you are paying extra for the split, just like I did.
When the stock was at 118, Glen bought the 115 call for Sept, I had them already for about 2 months. From the move to 127 (I think he exited there) the stock goes 9, the option goes 4 or 4.5? That is for September..
I glanced at your option, and just calculating the basics, you are in the 120, 8 points in the money correct? Ok, add 5 points for time premium, you have 3 extra points. In my experience trading DELL, 5 points is about normal. I payed 10 for 2 months, when I bought my 115..
So you will see eating of between 3 and 6 points as we move upwards. That is exactly what happened to mine when DELL ran from the 100 level to the 118 level.
IMO the best bet on DELL is to buy in the money so far that premium is already stripped. I prefer point for point movement. Right now that is very deep.. Options that are 18 points in the money for September still have premium in them. Crazy...
I value your insight as you know.. |
