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Strategies & Market Trends : Options-Technical analysis -- Ignore unavailable to you. Want to Upgrade?


To: Caroline who wrote (29)10/12/1998 6:27:00 AM
From: browser  Respond to of 296
 
Caroline!
your'e right! all the calls are way over priced!
thx for the info!
really learning from your analysis
b



To: Caroline who wrote (29)10/12/1998 5:25:00 PM
From: browser  Read Replies (3) | Respond to of 296
 
Caroline
cboe.pcquote.com
tscn.com
tscn.com
With stock closing fri 10/9 at 71 13/16 you said nov65call too expensive at 8.875
intrinsic value= 6.8125
time value= 2.06
today stock closed at 72.75 and the call went for 9 1/4
bid=9 1/2
ask=9 5/8
vol=73
oi=383
if only 6 wks remaining how come time value so high?
so how do you calculate how much the stock has to rise in order to
breakeven since you have so much intrinsic value?
thx b

ps: is there a formula on how to calculate time value so you can tell
how much the option is actually worth before you buy since time value
decreases as the days of the option get shorter?