[Opening Straddle on Business Objects (BOBJ)]
Dear Member:
I am looking at a volatility play on Business Objects (BOBJ) where the implied volatility has dropped sharply and is beneath the statistical volatility. At times such a situation provides an opportunity to profit by a turn back up in volatility as well as from a sharp price move in either direction if a straddle is the chosen strategy.
I am placing an order to open a straddle by simultaneously buying the April 60 calls (BBQDL) and the Apr 60 puts (BBQPL) at a limit of $3.60.
DISCLOSURE: At the time of publication, I have no position in the referenced options or the underlying stock.
Sincerely,
Bill Kraft
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