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.
Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: FishbackJ who wrote (4548)9/9/1997 11:52:00 AM
From: Douglas Webb   of 14162
 
Is it just me, or does this not add up?

"Buy 30 Jan98 85 calls @ 11 1/8 = 33,375
Sell 20 Apr98 75 calls @ 15 3/4 = 31,500

sooooo, you recieve a CREDIT of $1875 for opening the position."

Looks like a debit to me. You're paying more for the calls you buy then you're getting for the ones you sell. Pretty cheap for a deal involving 50 options on an expensive stock, but a debit nonetheless.

Doug.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext