Posts Tagged ‘Put option’
For the ones that followed my advice from yesterday and bought the 4100 put Feb-09 on the FTSE can take nice profit of 25% in less than 12 hours.
The FTSE starts the day on the red and now the option worth 74, 15 points more than yesterday night – 25% profit.
Hi all,
if you believe that by the end of the week the FTSE 100 will head to the 4000 direction (which I do) this is the time for you to but the 4100 put of Feb-09 which expired on the 20/02 10:00.
At the moment the price is 59 while the FTSE stands on 4134. Another red day tomorrow and the option will worth much more. You can easily make 20%-30% with low risk.
For example in the morning when the FTSE was higher the price was 46 in the evening when the FTSE went down the price of this option jumped to 59. 28% in less than a day.
Hi all,
To be honest I thought that Wall st will react better to the new president. I thought that Mr Obama will come with a great speech that will carry Wall st with great optimism all the way up. I was wrong.
When Barak Obama made his speech, the Dow was around 8150 soon after it went down to 8100 and then all the way down to 7950. Great start. So if Obama didn’t understand the task in front of him now he does.
But with banking sector near collapse some analysts talk about the Dow around 6000 and the FTSE has 2 at the beginning. My advice is calculate your risk. If you still want to go long on the market buy put option. Just in case. But put options are expensive these days because no one can see good news in the near feature.
I know that I am willing to take a risk and going to buy Barclays if they touches 65p. At the moment it is 72.95 so I am not far. But this is for long term investment. I think they are one of the few that have a chance to get it through, and if they do, the sky is the limit for this share.
