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 : Point and Figure Charting
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Judy who wrote (12512)1/10/1999 3:56:00 PM
From: james ball  Read Replies (1) of 34811
 
Judy one thing you might think about with at the money calls is they tend to have a delta of around .50. You should buy two calls for each 100 shares you would normally buy of the underlying stock. This will give you a 1 delta starting out of the box with your calls. As the stock rises the delta will expand and if you are right on the underlying the delta could in short order get to .75 or 1.5 delta for each 100 shares you would have bought. Therefore you would have 50% at that point more working for you than 1. This of course would rise as the stock continued to rise and eventually you would approach 1 delta and have twice as much working as you would have had in the underlying stock. Tom
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News