[Creating Spread Against Citigroup (C) LEAPS]
Dear Member:
Citigroup (C) fell sharply yesterday on the downgrade by Goldman Sachs. I own the Jan 2010 $20 LEAPS calls and am going to place an order to create a spread against that position by selling to open the Jul 20 calls(CGD) at a limit of $0.29. As I have done in the past, this is an effort to bring in income while reducing the risk in the long position.
DISCLOSURE: At the time of publication, I am long LEAPS calls on C.
Sincerely,
Bill Kraft
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