I am just starting to look at PUT OPTIONS as a way of insurance against a stock i may purchase.
I looked at OZL not for any particular reason. The current price on OZL is $1.485 close on Friday.
I went to the ASX site and brought up the OPTIONS.
OZLKD 26/02/09 P 4.380 2.895 2.895 0.000 4 2.895
The above is one line expiry around 12 months from now could someone explain what this is saying and the cost to buy this option per share etc
I am considering this over a stop loss due to being whip sawed and getting caught. eg gaps down.