I got a few responses to my post talking about my recent Apple (Symbol: AAPL) butterfly, therefore I thought I would explain a bit more. A Butterfly option is when you buy 1 call/put, sell 2 calls/put, and buy 1 call/put. This makes a “butterfly.” In my post I talked about how I ordered the […]
Butterfly Options
Butterfly Option on Apple for Oct 2012
I believe Apple is destined to head back to $700 or even above very soon. But boy look at those option chains, so expensive. What a perfect time for a butterfly option. What are butterfly options? Well let me give you an example. Buy 1 – $10 Call @ expiration date ($-1.79) Sell 2 – […]