Dec 11, 2012
Option Block 205: The Great Collar Debate
Trading Block: Most of the market was unchanged today. Vol levels in Apple have been attractively low, is Tosaw back on the short put train? GLD sees a little move to the upside.
Odd Block: Unusual activity in: Dole Food Co, (DOLE), iShares MSCI Emerging Markets Index (EEM), and iShares MSCI Japan Index (EWJ).
Xpress Block: Alex Jacobson discusses the latest and most interesting trade ideas from the "Idea Hub." A $10 OTM put spread in Apple.
Listener Mail: Our listeners drive the bus for a while.
- Email from Stephanie C: I hear you guys use the term "paper" all the time. Where does it come from and what does it mean?
- Email from Tully: Do you think this is a good environment for collars, particularly on some high flyer like Apple, Google, Amazon, etc. Also, what is the best way to structure a collar? Thanks and I'm a long-time fan of the show.
Around the Block: Keeping an eye on FOMC rate decision, gold, and the Euro. Be sure to have your tax plans in place as the year draws to a close.