Before I continued with my research on the copper and zinc price, I took a small position in the put option LUMI6O20 earlier today. This means Lundin Mining is underlying and it matures in 2016, March 18th with an exercise price of 20 SEK. I paid 1,50 SEK per underlying share.
Below picture shows the underlying share’s 5-day chart and where and when the trade took place.
And below, roughly 3 month chart with copper price (candles) and Lundin Mining Canadian share price (red line). By the way, it’s a wonderful chart tool they have at www.tradingview.com. I just happened to stumble upon it and I believe I will have to explore it further.
Well, we will see how this turns out in time. This time, I went maybe a little too much with my gut feeling, but it becomes so much easier and entertaining to follow when you have a stake in it. I’m after all still exploring these opportunities for my own educational purposes. And this is what the option was trading at by the time the market closed.