do not mind the trade TG. in most cases 99.99% I sell options and collect the premiums, however sometimes buying options can be worthwhile.
about six months ago the cdn. banks began reporting earnings, could have bought an option 1 month out, within a dollar....anyways the banks in question continued the trend and beat esitmates the banks moved higher. the $1 option was worth $4 within three weeks.
now the risks to this trade were if they just met or missed earnings most of my $1 per call would be wiped out. and loss would be taken on the play.
as for BP know someone who bought the shares (small amount at $29.) I passed, bought a small amount, very small amount of debt, he is looking for a double, I am looking for 20-30%...also safer if things do not work out.
BP has many risks but the option is not a bad play, just put in an amount you willing to kss goodbye.
AA actually came out with good numbers, before Alcan was taken over, years ago would always play that over AA, for the most part had a habit of missing numbers. do not believe AA will hit 16 by OCT. but you do not need that; just for it to go on a run.
both are high risk, but not bad gambles, just make sure you do not gamble to much on these plays.
BP should survive, the main question is the final liablilty have no idea.
good luck, with the plays.
thanks
selkirk
