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Schaeffer's Advanced Options: A Hypothetical Long Call Ladder

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Fri Aug 21, 2009 9:42am EDT 

CINCINNATI--(Business Wire)--
In yesterday's edition of Advanced Options, we analyzed a way option players can
profit from a stock's sluggish momentum using the long call ladder. In today's
column, we're going to make this unique option play even more tangible by
dissecting a theoretical long call ladder on solar concern SunPower Corporation
(NASDAQ: SPWRA). 

Before we begin, let's recap what we know about the long call ladder… This
strategy should be employed by investors anticipating little volatility on the
charts, and those who can stomach a high-risk/low-reward scenario. The maximum
potential profit on the play is limited, while losses could be substantial in
the event the underlying security skyrockets higher before expiration. 

To continue reading this article, click here:
http://www.schaeffersresearch.com/commentary/content/advanced+options+a+hypothetical+long+call+ladder/observations.aspx?click=home&ID=94742&source=businesswire





Schaeffer's Investment Research
Andrea Kramer, 513-589-3800
akramer@sir-inc.com

Copyright Business Wire 2009
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