[Opening Position in Safeway (SWY) Puts]
Dear Member:
Safeway (SWY) has been taking a tumble and looks as though it has some room to drop more. I am placing an order to buy the Mar 35 puts (SWYOG) at a limit of $4.60 for the day. Currently, these puts are about $3.50 in the money so the time value would b e about $1.10. The delta is approximately -.61. A bounce in the stock price above $34.50 would be reason to exit if I am filled.
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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