Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: Big Dog who wrote (64249)	4/11/2000 2:02:00 PM
From: Umunhum	Read Replies (2) \| Respond to of 95453

Big - OT OXY trade Message 13024047 since then I wrote a few more puts and used the money to buy 17.5 calls. My position in OXY now: Short 40 Jan OXY put strike 25 Long 100 Jan OXY call strike 20 Long 55 Jan OXY call strike 17.5 The puts paid for the calls. Worst case scenario I will own 4000 shares of OXY come Jan at $25. If OXY closes at $30+, which I expect, I make $168,750+. It would be a nice down payment on my retirement home in Florida. I have done this with a few stocks, RIG, KMG, GBLX.

To: Big Dog who wrote (64249)	4/11/2000 4:03:00 PM
From: upanddown	Respond to of 95453

Big One combination that I set up recently involved Nov PGO options. I sold the 17 1/2 puts and bought the 15 calls, 10 of each. The put proceeds offset the call cost and also covered commissions. Breakeven is PGO at 16.30 or above by Nov. The P/L outlook is very similar to holding 1000 shares long with one distinct difference....NO cash outlay. You do have to collateralize the puts, in my case, about $8000 margin but since I don't use margin, no problem-o. I like going out this far in a laggard like PGO since you give yourself time for the mid-cycle players to catch up. JMO. John