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To: Big Dog who wrote (163612)2/9/2012 10:56:33 AM
From: katytrader
   of 183547
 
Big, I think the rest of the story has to be known before giving opinion. What is the net cost of the long call and what is it costing to carry the position? If CC is right, your return would be the $10 spread between the strikes. If your net cost of the 50 was, say, $6, then I could see where you would be happy with that level of return over one year.

katytrader

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To: katytrader who wrote (163616)2/9/2012 11:13:00 AM
From: Big Dog
   of 183547
 
Rut Roh...Those are PUTS not CALLS. ...sorry.

No cost to carry, no margin.

Let them expire and if IOC stays above 60, I pocket the full premium (which I forgot what it was, but it was more than $6.00).

I was wondering that with the stock way above the strike, if I should roll out, raise the 50 to a 55, or the 60 to 65, etc.


big

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To: Big Dog who wrote (163617)2/9/2012 11:18:24 AM
From: CommanderCricket
   of 183547
 
big,

That makes a huge difference!

Wouldn't touch them and let um ride.

CC

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From: Michael Thomas2/9/2012 11:26:50 AM
   of 183547
 
HDY, Anyone concerned with the px target change from Renshaw? Worth adding on the sell-offs?

Thanks in advance.

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To: johnlw who wrote (163565)2/9/2012 11:30:43 AM
From: The Jack of Hearts
2 Recommendations   of 183547
 
Oliver no longer talks so freely about the environmental critics of the Keystone pipeline; all of Harper’s ministers have been instructed to stop making comments that might be construed as interfering in the American presidential election. But there are other, more diplomatic, ways to send messages. Like going to China with your cabinet members and cutting energy deals with a country that has, as The Globe and Mail in Toronto put it recently, a “thirst for Canadian oil.” Oil, I might add, that may be a little dirtier than the crude that pours forth from the Saudi Arabian desert — that is one of the main reasons environmentalists say they oppose Keystone — but is hardly the environmental disaster many suppose.

We've had this discussion before :o).. would be nice to not be existing at the whim of American politics.. Reality (just look at the new Canadian census/immigration numbers) is that the West is becoming the new backbone of Canada.. and the West's population is increasing to support that. There are NO guarantees.. we should have been covering our bases long long ago..

stuck back east :O)

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To: Big Dog who wrote (163617)2/9/2012 11:38:35 AM
From: MIRU
   of 183547
 
Big, general FYI --- RAM is now Halcon. And the "new" symbol is, guess what? HK

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To: CommanderCricket who wrote (163618)2/9/2012 11:40:14 AM
From: katytrader
1 Recommendation   of 183547
 
Big, I agree with CC. If your account structure can handle it, you might have a look at the deep OTM Jan puts. Looks like you could get 50% annualized return in a margin account with minimal risk.

katytrader

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To: katytrader who wrote (163622)2/9/2012 11:55:01 AM
From: renovator
   of 183547
 
Not long ago I sold Jan 17.5 and 27.5 Puts in my wife's IRA's, which I treat very conservatively. The cash covered puts return 16.7% and 19.5% respectively if held to expiration and are already well on the way to a decision on possible early closure. I can't find much better situations for the accounts I don't want to put to much risk, as I don't expect IOC to blow up and return to those levels. If you are comfortable with more risk, the 50P's are 8.65, which yields 17.3% straight up and obviously much more with a bit of margin.

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To: dvdw© who wrote (163057)2/9/2012 11:58:07 AM
From: Brasco One
1 Recommendation   of 183547
 
dvdw do you make any money in the markets???

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To: renovator who wrote (163623)2/9/2012 12:32:49 PM
From: katytrader
   of 183547
 
Yes, I sold the Jan 17.50s also. I see the play as a risk moderator in a margin account as well.

katytrader

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