Hold on q y chen, let's make sure we understand these first.
I still have gaps in my knowledge of options, so you may
know much more than I do...
>>Do you know when those 2100 contracts for THQFZ (June 32.5 call) happened and how they came to that much (one time surge or over a period)? I found the last trade (1/8) was at 10:44am. What was the ask/bid at that time? <<
I don't know anything more than the link that I posted.
The way I understand it, the 2100 contracts were transactions
done today. Last trade at 10:44am - you probably found
that at another site?
There's still some things I don't fully understand about
options, and when I get time, I will dig into it. But
the way I look at it, whenever a transaction is made, there
is a buyer and seller. Somebody today, wanted to hold
calls at that price. I wouldn't want to have them, unless
I had some extra information...I don't know what that
could be....
>>(32 1/2 + 1/8) (1/8 being their cost) before 06/19!<<
If I use this logic on some of the other calls, then I get
a) 27.5 + 13/16 = 28.1325
b) 30 + 3/16 = 30.1875
c) 32.5 + 1/8 = 32.625
So, I get different prices. I'm not sure how to put all this
together. I've done this in the past, and usually the numbers
come out much closer.
***I forgot to mention this one****
Today, there were 1280 contracts for the Oct 22.5 put @1 5/16.
Boy, this is extremely pessimistic. Maybe this is a hedge
fund concocting a very complicated derivative, where he's
projecting far into the future....and trying to defer
risk of a very unlikely event, because he has a gigantic
amount of money that he's putting on line...??
Another words, he's taking absolutely no chances on 3Com
damaging him, but at an expensive price. So expensive, for
an unlikely price, that he could be expecting to more than
make up for it with a huge profit, because 3Com will be
at a much higher price by then....I guess there's always
2 ways to look at these things...
Anybody, care to take a crack at interpreting this? |
