Chapter 04 · Section 4.1

Tina-Unisys

Situation at the beginning of day 2

Positions                              Margins
short 3 covered Colgate Nov 35 calls  $     0 
short 3 uncov. Colgate Nov 35 calls   $ 3,345 
excess margin:                        $ 4,055  

Day 2: Tina believes that Unisys stocks, currently traded at $73, will strongly decline. She buys 5 Unisys Nov 75 puts at $2.50