Creating a straddle.
As long this pos stays in-between 7.67 and 8.33 tomorrow I will be in profit.
Actually buying the bonds and shorting the stock is a safer bet here.
If this pig goes under you are not getting anything back.
These guys will burn through the 2b before 2016.
If I get assigned then Iam going to sell 1000 calls @ 8.00.
I dont see much downside.
you mean 12000?
If dow goes to 1200, I need to start preparing my bunkers.
Then why are the bonds not selling off?
Bonds have rallied from October and staying pat.
So my effective cost would be 100,000 @ 7.82 if assigned and it falls below $8.
If it stays above I get to keep 17k profit.