SELL A TOTAL OF 11 MORE CALLS OFF YOUR ONE LONG CALL =================================================== What does this mean?
What is the value of this strategy. You are paying hefty time premium on 2009 Calls. This is a bearish strategy because you are assuming that RMBS price will be 35.00 or under by Jan. 2008. What about if teh stock goes to 50.00 on Jan 2008. You are dead because you will be holding dead capital for all this time.