1. Presently put $120 cash per share in your pocket.
2. Your principle is $580 to $600 a share... $50 hedge
Giveaway is $630 to $650... If you factor in Renoir Strategy, real giveaway is $700 to $720.
Must buy more at. $560 if stock dips. Otherwise the sale of puts us profit
1. It can be a trick to gain your personal?
2. Big brother would love to make an example of anyone with firepower trying to manipulate the action.
Best place to be...right here.
It started 15 years ago, It stays here
Last quarter proved, IF retail stayed away from buying puts or calls the stock will not be manipulated
Be back then
On Bloomberg now
To sell a put is a commitment to buy the stock at strike price - premium you sold put.
For example: sell jan 2016 $90 put at $10.
Must buy stock at $80 or $560 if the stock is put to you. It may not be.
Like some sold lower strike price covered calls. The stock ran but the owners of the calls did not call away the stock. The seller of the call pocketed the AAPL dividend.
Next day, $31 discount pre split. Or $4.50 discount.
Operative word was who "wanted " to sell.
$31 trading range between wed high and Thursday low.
But closed for options near $95.