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I had a look at the option chain of FCX and it seems to me that the calls are very highly priced at the moment, implied volatility at the money call about 250.

You don't mention your cost of the shares but the original post in this thread is from 11/26 and your loss at 25% I would guess about $ 24. What call did you sell and for how much?

The Dec 17.50 call have a bid of $4.95 for an effective sale price of 22.45, going deeper in the money to $15 the bid is $7.05. Going out to January the bid goes up to $5.90 and $7.65 respectively. You might be able to at least break even depends on how much profit you will get after buying back your calls.

It also depends on how you feel about holding on to the shares.

I will have a look in the morning on how the shares and options are trading, I am considering to do a buy/write with a in the money Dec or Jan call.


If I can get $9.30 (current bid) for the Dec 12.50 call, that would be an effective sell price of $ 21.80 in 16 days for the shares bought at $18.05. We'll see how they are trading in the morning.

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