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[cta751]

MW (Men's Warehouse) 21.30

MW closed on Friday at 21.30. It has had some pretty good swings to it in the short term and will be posting financials on Wednesday after market close. I looked at options on it but it just doesn't have much for april.

IMO it's going to be getting too close to march expiration to even consider march contracts. On the other hand it has some nice moves and one could take a spread on it with a 20.00 put and a 22.50 call at which point it would need approximately a 2.00 move to get you at break even.

22.50 march call is currently .86
20.00 march put is currently .95

Each one is about 1.30 from being in the money at this time

This would give you at 1.81 premium for each contract on the march options

A 3.00 move up would give you appx a 35% gain
A 4.00 move up would give you appx a 75% gain

A 3.00 move down would give you appx a 30% gain
A 4.00 move down would give you appx a 65% gain

These figures are also before commissions so the actual gains would be a bit less and I figured the contract that was out of the money worth nothing due to the time factor

I'm thinking it's too risky with such short time on them, but if it had a big move it could be a super nice gain.

any thoughts??