Options Update: How to Play Baidu

Options Update: How to Play Baidu

Assessment

Interactive Video

Business

University

Hard

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The video discusses the market forecast for high-growth US-based companies, suggesting they may disappoint investors but still have a positive trajectory. It covers options trading, highlighting short-term trades and market expectations. The video also presents a strategy for trading Baidu's earnings using a call spread, emphasizing entry points and potential returns.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the speaker's perspective on the future of high-growth US-based internet companies?

They will outperform all other sectors.

They might disappoint investors but have a positive long-term trajectory.

They are expected to decline significantly.

They will continue to grow without any setbacks.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What action does the speaker recommend regarding Facebook stocks?

Sell immediately.

Buy now.

Avoid investing in Facebook.

Hold and wait for better opportunities.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the nature of the options trade involving November 82.5 calls?

A strategy to hold until maturity.

Long-term investment strategy.

Short-term trade based on expectations.

A hedge against market volatility.

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the speaker's strategy for trading Baidu options?

Investing in Baidu for the long term.

Avoiding Baidu due to market uncertainty.

Selling all Baidu stocks.

Buying a January 2, 3260 call spread.

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the potential profit scenario for the Baidu options trade?

Five to one.

Four to one.

Three to one.

Two to one.