In goog, $408.77 at 1225pm monday, 5/11/2009, the daily and weekly sequentials are at 9 and 8 sell. although the charts look firm, stochastics and rsi are weakening.
so, for goog, let's look at some premiums.
june 410 at 16.50 bid with a theta of -0.2184 and a delta of 0.5077, so your covered call at a net 0.4923 with 40 days to go. this is one choice.
paul
That looks like a reasonable scenario for GOOG.
ReplyDeleteI notice that the daily sell setup for AAPL broke on Friday, but that the weekly is on track for a 9 count this week. I didn't get a chance over the weekend to see if there is something I'm missing on the daily. Can you comment on AAPL?
for aapl, we have a 2-0 buy in the daily and 9-1 sell in the weekly. the weekly is bullish as the "1" could extend further.
ReplyDeletethe daily frame, if prices can hold here, could recycle to a 1-0 sell if aapl closes above 132.71 today, 132.50 tomorrow or 129.06 wednesday.
if not wednesday or thursday, a price down trend may have taken hold. this is another use of the great indicator.
atm options for call writing on aapl has higher deltas, signaling market sentiment over aapl versus other techs.
take the june 135, delta is 0.4228 with a theta of -0.079 at a 4.60 bid with shares at 130.70
trade delta at 0.5772.
higher than goog's
paul