Thu, Aug 28, 2014, 11:26 PM EDT - U.S. Markets closed


% | $
Quotes you view appear here for quick access.

American Capital Agency Corp. Message Board

you are viewing a single comment's thread.

view the rest of the posts
  • olee2116 olee2116 Oct 24, 2012 9:29 AM Flag

    OT: FB earings

    See what I'm talking about??? I had FB calls that expired, if I had bought the nov calls, I would be sitting on big profits.

    You guys are greatly understating the risk of expiration. I can be completely right on the trade, but if I'm wrong on the timing, I lose everything...

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • But Olee brother, what I don't get is why don't you do farther options? If you get short term options you should accept that you will lose. With let's say jan 14, it's like holding a stock while adding more each month if you made a mistake. I don't want to sound bad, but you are gambling and not investing in options. Good Luck brother, and buy FB puts

    • But the premium on fb calls (and puts) were very expensive as well. That is why I stayed out of earnngs. In retrospect, buyng the calls was a good play, but the ATM calls were at a price that your BE was a +7% gain. When the weeklies have premiums like this, I would just either just long or short the stock. The premium is still extremely high, but I expect the November puts to look much more attractive in the next few days.

    • Why don't you look at trading spreads instead of straight up calls or puts. I know that the return may not look as good, but spreads will allow you sleep at night, and you can adjust them if things go haywire.

23.51-0.01(-0.04%)Aug 28 4:00 PMEDT

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.