TXN Spread

Does all this discourse seem like overkill ? I told you there were some good options traders on ET. Half the time I don't understand them.

One thing is certain. TXN is at 27.70 premarket, so I am lsing money on my short.

I see about 500,000 shares in open book offered under 27 but this doesn't mean anything before about 5 minutes till the opening. These orders could just be intended to influence premarket trading. I see 67,900 offered at 25.67, 227,000 offered at 26.08 and 221,600 at 27. I'll bet these mean nothing when the stock opens.
 
1) Bought back 10 NOV 27.5 Calls for .90 (.40 loss)

2) Sold 10 NOV 25 Calls for 2.65 (1.15 profit)

3) Sold 10 NOV 25 Calls for 2.75 (1.25 profit)

Thanks again to all who responded.
 
But next time, how bout a heads up TXN is gonna jump !!!!!!!!!! Just kidding, congrats on the trade, just be careful taking delta bets before big news, assuming the premium you paid ain't gonna kill ya, that's fine, but a lot of people take on too much leverage and get killed. Of course, if you're long options, you can only lose what you paid, but the real horror stories come from people that sell naked options--and we all know that selling naked options can take the shirt off your back.:p :p

Vega:D

By the way, one of the things I like most about this is that the TXN pit on the floor of the CBOE had some of the biggest assholes in Chicago trading in it, used to stand right next to that pit a few years ago, I'm sure they hedged their trades, but if they lost a little dough on your trade--couldn't happen to a nicer bunch of guys !!!!!!!!!!!
 
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