Hello Poet Trader,
The flame attracts me<g>. I took a look at your CIEN holdings and got this:
If you close out the existing calls, taking the $2, and then consider the $41 basis to drop to $39 then your overall average basis for the 800 shares is about $45.50.
I see that CIEN has been in a tailspin for the last two weeks down to 39+ from over $60. I think about the only thing I would consider would be something in the range of the two JUL calls:
JUL 45 EUQGI 2.15 last, up 0.20, 1.90 bid, 2.10 ask, 1438 vol, 5426 open interest
JUL 50 EUQGJ 1.05, up 0.05, 1.00 bid, 1.10 ask, 664 vol, 5145 open interest
or the AUG 45, 50, 55 strikes.
All the premiums seem skimpy but I suppose they are better than nothing.
Hopefully, CIEN might a move to the upside over the next few days (dead cat bounce?) so these premiums might improve -- you may want to wait a bit because things can't get much worse...right? :o)
Good luck and keep us posted on your decision, OK?
--dfl |
