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You wrote(sold short) 1 put option when the put option price was $2, the underlying stock price was $50, and the delta of the put
You wrote(sold short) 1 put option when the put option price was $2, the underlying stock price was $50, and the delta of the put option was -0.65. To achieve delta neutrality, you shorted some shares of the underlying stock. Please fill in the blanks in the following table.
Please show calculations.
Week | Stock price | Put option price per share | Delta | Number of additional shares shorted | Proceeds from short selling additional shares |
0 | 50.00 | 2 | -0.65 |
|
|
1 | 48.12 | 3.6 | -0.80 |
|
|
2 | 49.30 | 2.8 | -0.72 |
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|
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