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October 18th, 2009 at 10:16 am
Phil, I’m, confused. You’re saying my call would be worth $10, 4 times what I paid for it but that the premium would be gone. Would I still be able to sell the call? What am I losing if the premium is gone but the call is up 400%? Should I have sold the call earlier? Is there there a point as delta is rising when one should sell?
I notice that BEXP when up 5.21% on Fri but the 2.50 and 5.00 calls didn’t go up at all where as the 10 call went up 11.63%.
Also, what does this mean for leaps.
There’s obviously a big hole here in my understanding of options which I want to fill.