Bank of America

[Vanraw]

Grieve, at you still in BAC? I'm looking at jumping into some November calls. These guys look to be at the bottom. Looking at $10 calls for Nov 17. Curious where you are at.

[Grieve]

Yep, but in a call spread, not the stock itself. I bought a Jan '13 bull call spread back on Dec 28th - bought $7.50 calls and sold $10 calls.

I got the $7.50 call for 58 cents, it went all the way up $3.15 in March, and by yesterday had fallen all the way back down to 79 cents...

Since it's a spread, though, I just need it to be over $10 in January (or at least over $8.08). The spreads cost 35 cents each, and pay out $2.50 each - not a bad return for little risk.

[Jakensama]

My poor brother is in house counsel for them and got half his bonus in BOA stock.. Guess they were out of toilet paper.

[Vanraw]

My poor brother is in house counsel for them and got half his bonus in BOA stock.. Guess they were out of toilet paper.

hey might be good. I would hang onto it, until the Apocalypse when we really run out of TP.

Honestly though, I'm very close to triggering on BAC. 1 year range is like $4 to $11. I cant see this not hitting 10 by end of the year.

[Grieve]

I agree, I bought more call options today. Jan '13 $7.50 calls - this time straight up calls rather than spreads. 90 cents each, so $8.40 break even.

[Vanraw]

These guys just blew away projections on earnings and profit. They were up 2% premarket, and I was doing happy dance. Now down 2% from yesterday's close, but Im not seeing any bad news. This is on top the NASDAQ being up 1%. Makes no sense.

[Grieve]

Yeah, but how much are they going to end up paying out due to the LIBOR scandal, which is HUGE...maybe bigger than the 2008 financial crisis. Also, it's better results were mostly due to lower loss-loan reserves rather than good performance.

Having said that, I still have my BAC options. Not looking good right now, down 4.55%...

[Vanraw]

yea reading that now. I thought the LIBOR scandle was mostly a Barley's thing, but stretching to American Banks now.

If the 2008 crap wasnt enough for stiff banking regulations, followed by the meltdown in Europe in 2011, and now the LIBOR issue, then what is?

[Grieve]

And don't forget the JP Morgan "London Whale" debacle.

I can't say much more about regulations outside the Political forum, not without causing trouble.

[Zirak]

I can't say much more about regulations outside the Political forum, not without causing trouble.

Then go say something about it over there so I can comment. :p

[Vanraw]

I can't say much more about regulations outside the Political forum, not without causing trouble.

Then go say something about it over there so I can comment. :p

Actually that horse has been beat to submission also on some older forums after the 2008 crash.

[Vanraw]

I am still into my Nov calls. Im at a loss still/ Pop today is nice, and I wonder if we are going to see a pop tomorrow morning on earnings or a disappoint. They are calling for a loss but I wonder if they will beat expectations. Right now I am rolling the dice and holding on........ Tomorrow morning I will either be very happy or very disappointing ....