Posted on December 19, 2022
A few public surgery announcements before we begin.
First, we made an error computing our TPOR/DUSL trade winning last Friday. It’s now been corrected on the site.
The win was 2713%, and not 100%, as originally posted.
Fair is fair, Katie. Sometimes big wins get bigger.
And now we’ve got one to close
It’s our BMY trade from just a week back.
The letter was called If You Have to Take Drugs…, and there we urged you to sell the BMY February 17th 80/82.50 CALL spread for $0.93 and buy the BMY February 17th 77.50/75 PUT spread for $0.88. Total credit was $0.05.
There’s still two months remaining before expiry, but we like the sum that awaits us—and the time frame in which it was procured.
JUST SEVEN MEASLY DAYS!
So we’re closing.
Buy back the CALL spread for a debit of $0.33 (0.57/0.24) and sell the PUT spread for $1.50 (5.05/3.55), and you NET $1.22 on NOTHING laid out.
Adjusted for minimal commissions gives you a winning of 713%.
We’re flipping the McDonald’s burger today, in a splendidly crafted work of options finesse that ONLY the floor traders of MCD could have assisted us with.
…And that could pocket us a healthy 2122% on a move of just over two percent!
But before we do…
Consider the fundamentals—
G-d help us succeed against all the evility of this world!—
We’ve a hunch we’ll be closing this one out in rather short order.
With kind regards,
Hugh L. O’Haynew