View Single Post
  #6  
Old 11-21-2005, 02:04 PM
blendedsuit blendedsuit is offline
Member
 
Join Date: Jun 2004
Posts: 94
Default Re: why are FDG 2008 call options below market price?

I wouldn't consider myself a newbie at options, but I agree wholeheartly that these options have a very low volume and thus larger bid ask spreads. I bought some FDG call options a while back at no premium whatsoever. Meaning, the options had a strike at 30, I paid 4.90 per share, and the current market price was 34.90. I am comfortable with the investment I made.

I was just wondering if there were any other reasons besides the lack of interest in these options that would create the current situation where the calls further off in the future are actually priced lower than the more recent ones.
Reply With Quote