Just curious what is the logic behind the person taking the other side of that fmg put- ie buying the put at $4 for 10c premium?
Either speculating.
Trying to get cheapish leverage to falling fmg price. Surely pretty unlikely though it'll go under 4 (really 3.90 for profit) in a month.
Or portfolio protection. But this protection fixed sell price is 70c under current price. Portfolio is still going to get battered. But I guess it's relatively cheap only 10c to get some sort of protection against a pretty serious price move. I guess someone might be in a very exposed position on fmg and wants to basically protect against a black swan event in the short term.
I only ask because this I think is a very gd income producing strategy - I'm wondering where the demand for these puts comes from.
Did your puts get easily filled? Or did it take a few days?
