AI
Tuesday, May 20, 2008 3:07:54 PM
AAPL CHART:
AAPL is one that everyone needs to keep on the watchlist, IMO. Starting to show a little life this afternoon so I got in.
July $200/CALLS @ $6.50
I gave myself lots of time with July contracts for AAPL to develop. My break even point is $206.50. The break even point is where the PPS of the stock has to be upon expiration to make it wise to purchase the shares. But we don't care about the shares. WE TRADE CONTRACTS. So why do I always publish the "break even" point?
Well the break even point is a great way to judge the price your paying for a contract vs. the real value of the stock. If your target price is above the "break even" point then your contracts are considered a great value.
I may be in a little early here, IMO....
Boca_Bobby
AAPL is one that everyone needs to keep on the watchlist, IMO. Starting to show a little life this afternoon so I got in.
July $200/CALLS @ $6.50
I gave myself lots of time with July contracts for AAPL to develop. My break even point is $206.50. The break even point is where the PPS of the stock has to be upon expiration to make it wise to purchase the shares. But we don't care about the shares. WE TRADE CONTRACTS. So why do I always publish the "break even" point?
Well the break even point is a great way to judge the price your paying for a contract vs. the real value of the stock. If your target price is above the "break even" point then your contracts are considered a great value.
I may be in a little early here, IMO....
Boca_Bobby
Boca_Bobby
Mom said there would be days like this!
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