Last quarter Goldman Saks had a horrible trading quarter,,.
They must be dolling their own ideas?
I said last Dec, I expected a 7 to 8% return for 2016. Sale of the Jan 2018 gave you almost 17% then...that was the play on all stocks
There is a $10 profit from sale of Jan 2018 $110 calls for $17.
If you need tax deferred cash, close this out then sell $97,50 calls for $13.
Now your giveaway if $120 rather than $127 but you now have $23 cash per share in your pockets rather than $17.
However, if you add Renoir $12 to $20 profits,,, giveaway is really $132 to $1140
It is never wise to mix apples and oranges Jan 2017 and 2018 options...this time is an exception.
Wall Street hated retail...This play was a defensive maneuver to prevent that. Remember there are NO Renoir plays presently on...I closed the last one weeks ago as posted here
It allows you to pre-pocket market gains before the stock price grows into that valuation in the form of Tax Deferred cash.
Until the stock is taken or you close the trade you do not pay taxes.
You collect the AAPL Dividend as well, not the buyer of the calls
When I poised this question last year in April, the next day the Market maker was offering these options.
I guess the market maker knows what is coming...
It makes sense!....Make your money have you making money then let the stock price grow into that valuation
Mathematically, the premium must be $17 to $20.
sell a Jan 2018 covered call until you can sell the Jan 2019 covered call...net $27
Buy a hedge put at Market price or purchase price - premium from above = Jan 2017 HEDGE Put.
Someone called me an idiot
I answered this already. So why are you asking again
Stay away until you learn . Your message makes no sense..it is irrational