If you thought your Cinco De Mayo was wild take a look at the options for J.P. Morgan Chase this week. JPM came out with some very bad news after the close on Thursday, but it was great news for JPM put holders. They were doing the Salsa all the way to the bank today.
JPM’s 9% decline was a nice return for those short the stock, but for those who played JPM downside via PUTs….paydirt. Some unbelievable gains for those positioned for a big decline.
The JPM options that expired this week:
$38 puts from $.02 to $1.37 or $200 into $13,700
$39 puts from $.02 to $2.17 or $200 into $21,700
$40 puts from $.09 to $3.20 or $90 into $3,200
Even a $20 buy of the $38 puts would have turned into $1,370. That will pay for some great dance lessons.
4 Responses to JPM PUTS Do The Salsa
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Maybe JPM should have been holding some $38 puts on themselves before telling everyone what suckass traders they are. Or maybe they were….?
look at the market the last 3 weeks and tell me what you think??? easy answer and just goes to show you how the retail trader is a just a pawn in the big scheme of things
Gee let’s continue to rain free money down to the banksters – they are doing such great things with it to help rebuild the economy they blew up in 2008.
Oh yeah also let’s continue to demonize the small handful of homeowners who recently received principal reduction from crappy mortgages they signed up for at the height of the bankster fraud.
The hour chart has three red candle the day before. A prediction of things to come.