GE Put Options

Kinda like getting a STD and talking to a hooker/stripper about it. Does not help ;)

Quote from lindq:

LOL. This is one for the keeper file.

You sold 2,000 contracts and come to ET looking for advice.

:eek:
 
GE up 3 cents as I'm writing this with the dow down huge. Woohoo!!!

Only 11 more sleepless nights to go and I can hopefully then celebrate.
 
Quote from Subdude:

Are these naked? If so, I salute your confidence and the sizes of your balls, as well as your account! :D

It is naked covered by cash.
 
Quote from Vinny1:

It is naked covered by cash.

Are you saying you have $1M sitting in your account in case of option assignment? Guess you've already been asked this question.
 
"GE's industrial businesses are clearly worth more than the current share price," wrote Nigel Coe, of Deutsche Bank, in a note to clients. "Our view is that while there is a whiff of further funding requirements -- be it public equity or government funded -- the stock will remain oversold and highly volatile." Deutsche Bank rates GE "hold," with a $12 price target.

http://www.cnbc.com/id/29526153

I think GE will stay above $5, but you should never take on so much risk that you are sleepless
 
Quote from heech:

My screener says 81% probability that it ends up above $5 share, and 19% probability that it goes below.

You do realize that you also need $1 mil in buying power lying around in your account, ready to pay for 200,000 shares of GE at $5? (And if GE does go to $3 at that point... you'll immediately have $400k in unrealized losses?)

Your screener doesn't know its on the hook for $85 billion or so for commerical loans or $480 billion in other debt.

In 25 years we can buy an AI bot to figure that out for us.

John
 
I definitely wish you all the best, I have done stupid stuff (well i still do) but i do it on a smaller scale.

Try to learn Money/Risk management.

GL

Quote from Vinny1:

It is naked covered by cash.
 
I would agree with the poster about not taking on such a large trade that it causes you to lose sleep.

It also hints of gambling as well.

I have been writing $5 puts as well but I am not losing sleep over it.

I have had shares of GE put to me last month but of course I was able to get that fat dividend right after having it put to me.

GE spent much of the day in positive even with the massive sell off. Of course as bad as its been beaten up its bound to take a rest regardless of the overall market.

What many miss with GE is that they are AAA and profitable and have forward looking PE of under 10 even with huge reductions in profits.

Yes they more than likely will lose the AAA and go to AA but its not a game changer.

With the global exposure they can make money in other places while the USA turns into the USSA under the current socialist regime.

In the end things are bad all around and thats why the stock is trading where it is. If things where not so bad it would not be under 10 as we all know.

GE has its "drill down" for GECC on March 16 which if received well (hard to think they will mess it up) should give some lift to the stock at whatever price it is at the previous Friday which should be strong as a result of the March 16 press.
 
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