Monthly Cash Machine Newsletter, Friday, 07/29/2005 02:56:21 PM ET
New Bull Put Spread - BBY
HAVING TROUBLE PRINTING?
Looking to add BBY - Best buy bull-put spread.
BBY - Best Buy retails consumer electronics, home-office products, entertainment software, appliances, and related services. It operates retail stores and/or commercial Web sites under the various brand names, such as Best Buy, Future Shop, Magnolia Audio Video, and Geek Squad, as well as an outlet store on eBay
BBY $ 76.87
SELL BBY-TN BBY August 70 PUT CREDIT= $ 0.25
BUY BBY-TM BBY August 65 PUT DEBIT= $ 0.05
NET CREDIT = $ 0.20
INITIAL "NET- CREDIT TARGET= $ 0.20 or $ 20.00
POTENTIAL PROFIT (x 5 CONTRACTS @ $ 0.20 = $ 100.00
MARGIN REQ. (x 5 CONTRACTS $ 2,400.00
RETURN ON INVESTMENT= 4.17%
Exit Strategy= If NET DEBIT = $0.50 STOP