[Setting Contingent Stop on Lehman Bros (LEH) Put]
Dear Member:
Lehman Brothers (LEH) took another dive this morning gapping down at the open and adding value to my long put position. I am now placing a contingent order to sell to close my Mar 45 puts (LYHOI). This should have the effect of significantly reducing any loss in the iron condor or perhaps turning it profitable. The call side spread of the condor appears to be in very good shape. The order I am placing is to sell to close the Mar 45 puts (LYHOI) contingent upon LEH stock going above $46.55. Watch for further moves on this relatively rapidly developing situation.
DISCLOSURE: At the time of publication, I am long the referenced puts and hold a bearish call spread as the remaining legs of an iron condor on LEH.
Sincerely,
Bill Kraft
|
