BREwmaster said:
59 South said:
$30,000 Millionaire said:
bought CWH long. I don't bet against Cohodes.
Great minds 30K! Just loaded for the long haul a few minutes ago at 29.66.
I knew I liked you guys... I only have 1 leap on CWH, Dec. 45C.
What is this put play you all speak of? selling puts?
CRM BWB - in! that is, if I get a fill.
Ranger, is this man in B/CS? I owe him big. These FB Oct 300's are BANK now!
Selling puts can go a number of different ways
1) sell a put to get stock at a discount (what I'm doing here) - I sell the $30 put for say $3. If the stock price at expiry is below $30, I have to pay the contract writer $3000 to get 100 shares. But my net avg cost is $27 per share because I got $3 per share no the sale of the put. I can then keep the stock or sell it again or sell calls against it.
2) Sell puts if you think the stock is about to move up. As the price moves away from your put, the value goes down and you keep the premium if it expires worthless, or you buy it back at a discount. But be prepared to engage bullet 1 in case the price drops.