And Yet Another Postcard
Hello again, folks.
Its me, Bill Winger, Tonyâ€™s colleague. Tony
just asked me to pass on a very brief hello so that none of you forget about him
or the strategies he has suggested. Tony
may be on vacation, but ever the trader, he watches his positions like a hawk
all day every day. We are all working
diligently to get the column back on track ASAP. We will be up and running again soon.
asks you all to survey the suggested spreads that are still open.
Doing so will provide an excellent mini-lesson on applying option
strategies. He says, “You
will note that our Butterflies are looking grim. As you know by now, butters are excellent for sideways markets and
markets with neutral volatility. However,
we put these on for only around a 3/8 cost, so we are not to hurt by this.
“On the other hand, look at Softie
PowerRating), especially the 55/65 call vertical.
We got in at 4 11/16, and it’s trading around nine bucks.
We hit a double on this one, and did so by spreading out our risk.
Remember, staying spread is staying alive. Talk to you soonâ€¦â€