How do you pick the right option?
Say I am bullish on $DELL. I think it’s at $800 next year.
I’m looking at
$400C 12/28
$500C 12/28
$600C 12/28
$700C 12/28
I know the 700 will have the highest return if it’s at $800 next year, but I also understand my odds of donating my money drastically increase.
I also know I can bust out my calculator, find how much each option costs, and calculate what I make at each expiration. But am I doing this the slow way?
TLDR: Is there a better way to analyze different options before I buy them?
u/Ok_Cat7977 — 5 days ago