Option Strategy 1.1 - PSTH - week ending 4/16

 Readings after Friday Market close :

Stock price ( At execution)              : $26.75    

Last Friday Close    : $25.36

Friday Close            : $24.20

Weekly price action : ($1.16)

P/L Open                : ($95)

Delta                        : 68.16
        

Implied Volatility & Time Value readings  











Couple of Observations:

---Based on the delta of 68 (price dropped from $ 26.75 to $24.20 = - $2.55), loss should have been - $255 x 0.68 = $173 (based on 100 shares).  But with this strategy , loss is $95 ( approx 45 % less).

-- Implied Volatility for the ITM options is keep increasing so people are positioning for a long haul and less speculative OTM options like 40, 45, 50. (Less certainly about deal timing).    

Related links 

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Day 2 - Execution

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