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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: shades who wrote (62169)	4/17/2005 3:59:06 PM
From: Taikun	Respond to of 74559

Shades, I think I may write the Jan 07 $250 calls pocket $1760 ea and buy the Jan 07 $330 calls for $540, for a net gain of $1220 and max risk per contract of $8000. This is high return, compared to AAPL. On AAPL write the Jan 07 $55 for $280 and buy the Jan 07 $75 calls for $100. Net gain of $180 and risk of $2000. I like GOOG's odds. On KBH write the $140 Jan 07 calls for $1260 and buy the Jan 07 $160 for $780, net $480 and risk of $2000 per contract. Of these three, I think GOOG has the lowest probability of meeting the write price and the highest gain per amount risked. But I like KBH as well. By Jan 07 anyone who can buy a house will have. on GOOG, do we think they will pay a dividend so it yields 5%. That, or a buyout buy Buffett at $320/share, are the only risks. D