Re: Boyd Casino stock...
- From: "billb" <sevenoutpinball@xxxxxxxxx>
- Date: Wed, 12 Oct 2005 16:21:30 -0700
> From what I've seen, your shorts (which is a VERY dangerous position) have
> been successful.
not really dangerous, you can hedge out the risk by buying an near term call
option. suppose a stock is 40. an october call on 100 shares will be maybe
40 cents a share. Now you short the stock and collect 4000. You buy the
option for 40 dollars. You now have about a week for something to happen.
If the stock drops to 30 you've made 960 if the stock rises to 50 you've
only lost 40 bucks because you can still buy the stock for 40 and close out