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: SliderOnTheBlack who wrote (25047)	7/1/1998 10:53:00 AM
From: Kevin Stull	Respond to of 95453

Slider and all, Anyone watching DO today? Its down and the aug 40 puts look like a nice safe play for a 27.5 % roi over 2 mos: selling 5 contracts of the aug 40 put (current bid 2 3/4) which ties up $10,000 (on margin) takes in $2750. Breakeven is if the stock gets to 37 1/4 by option expiration 3rd week in Aug. 52 week low on DO is 37 15/16. With all the bad news out on the drillers and DO being a more insulated due to its deep water business it seems like a good risk/reward. Worst case is having the stcok put to you at a cost basis of 37 1/4 in late Aug. I heard that he weather phenomenon known as La Nina is setting up in the Pacific (opposite of El Nino, i.e cold water off Peru) and may spark a colder than normal winter, which is just what oil prices need, right? Any thoughts? KS