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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Umunhum who wrote (43913)	5/11/2005 10:59:22 PM
From: kodiak_bull	Read Replies (1) \| Respond to of 206093

Uh, $3.30, that's a great price. "I will go up the ladder far enough so that I am paying less than 50 cents for each dollar of strike price. I want maximum leverage." I don't quite understand this--do you mean you calculate how many dollars out of the money the strike is (here, a 44 strike would be about 3 dollars out) and try to buy an option that costs $1.50 or less? Just curious. If XLE actually can get to $80, you can get the biggest bang for your buck by buying the 07 55 calls for $1.40. At 80 that would give you $25 per, or a neat little 18 times. Good luck. Kb