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

To: Debt Free who wrote (162167)	1/8/2012 3:11:36 PM
From: Bearcatbob	Respond to of 206184

IMO CCJ is now an excellent BPS trade. I did one last week. I think 17/16.

To: Debt Free who wrote (162167)	1/9/2012 8:55:01 AM
From: CommanderCricket	Read Replies (1) \| Respond to of 206184

Doug, "it could be worthwhile to rethink the 200% rule for an option that doesn't expire for 60, 90 + days." Don't think so. Even with a lot of time left, I still think it's better to close to the position and re-evaluate. If an option doubles on you, you've made a mistake and for an option 6 - 9 months away from expiration, you've got a problem as it's more difficult to move these options around. Depending how far you are out of the money, these options usually have delta's around 0.20 - 0.40 and for the position to go that far against you, something is wrong. An possible exception would be if the option is still out of the money and you've got the money to back it up. Michael