SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Biotech / Medical : ABTI Alpha-Beta Technology
ABTI 0.0002000.0%Oct 31 9:30 AM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Ryvers who wrote (479)8/6/1997 6:45:00 PM
From: Scott G.   of 572
 
Very good Ryvers

You have passed options 101, Break evens.....
I think you can see that after reading the posts here on the thread
those breakevens were very reasonable.... you can also see that I was leaning to the long side.....

I had to wait for the stock to break six before profitting.

Your question is an excellent one. Why not buy Aug 10 puts on a ratio rather than shorting the stock.

The answer is that there in absolutely no difference at all!!!!!!

I created a synthetic put position (102 puts) vs 68 calls.

If i had used that ratio it would have produced the same results.

However, the puts were out of line when I put the trade on, I simply made the puts synthetically at a cheaper price.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext