$48 is a nice thought, but there's the real possibility that WTI drops another 10%, that's ~20% for UCO. Even with this background, I'm still long with half of my position sitting @ $7.65. Will buy more starting @ $6.90 if UCO drops.
I think the odds favor your trade, particularly since UCO is down over 5% today!
My strategy has been to build a long position in 1/4 increments. The 1st quarter was obtained @$7.90. I plan to add another 1/4 @ $7.40, perhaps today if the slaughter continues. Once 1/2 the position is filled, I'll re-evaluate.
Are you planning on taking a position prior to expiration (anticpating UCO trades sub $7) with the intent of bagging a profit @ the strike price? Or are you trading solely the option, as the value soars on UCO's plunge?
Bunker Busters have a maximum penetration of 70 ft of earth, on top of ~18 ft of reinforced concrete. Guess how deep the Iranian facilities are....membrane?
Israel can't take care of the dirty work, that's why they're on our front door.
The only way to get to them is with ground troops. Guess whose troops Bibi wants to use?
Hint: the same ones that went looking for WMD in Iraq