Thursday, October 8, 2009
Yamana Gold (AUY) & THE DOLLAR
Yamana Gold (AUY) is as I type, trading up 6% intraday, @ $12.30, with several upgrades out. RBC Capital Markets raised the price target to $13 from $12 ~read~
The US Dollar is trading just below it's Sept. 23rd low of 75.80.
Take a look at those who own AUY via Itz Pix Portfolio, selling a covered call, Jan $14 call AUY-AP currently around $0.90. Yamana Gold was a suggested entry back in July @ $8.50, this would lower the cost basis to $7.60. Max return if called by Jan expiration +84%. Buyback call if stock pulls back prior to expiration.
*click on chart to expand image