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In response to "One hour to make your OW/Put/Call decisions. -- nm" by Andie

So Put Call question

if the TMNT ones are for a $65M open, and I think it will do less, I should short the Call and Long the Put, correct?

I usually stay away from them because they confuse me.

Filling the PUT example from the page with TMNT numbers:
A H$65 put has a strike price of $65M, and will cash out at zero if the movie makes more than $65 million during opening weekend. If the film makes less than $65 million it will cash out at a price determined by the following formula: (Strike Price - Actual Box Office). For Example: if the film made $30 million the put would cash out at H$25.00 (H$65 - H$40).

correct?


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