options...good value?, page-7

The tails are a good play if you think that the company has a chance to head North. If the SP rallies and you bought options you get more exposure (assuming you had a set amount you wanted to invest), and most likley a higher % return.

There will be a point when the options (assuming sp rallies) will not move as much as the heads, maximum 2 cent discount, any wider than that its a great arb.

If esio is at a 2 cent discount = happy days.

I do think that the ESIO will be converted to heads, starting soon.

26/7 is a few days away, and if nothing accross the line i dare say the SP will be touched up a bit, and fair enough. I will keep powder dry incase that does happen as i think its a bear trap !!!

For the chartist out there, check out the USA (cbot / cme) corn market - wow !!!