China Mobile (NYSE:CHL) closed Friday's deflating trading session at $50.20. In the past year, the stock has hit a 52-week low of $43.51 and 52-week high of $53.87. China Mobile (CHL) stock has been showing support around $49.43 and resistance in the $51.23 range. Technical indicators for the stock are Bullish and S&P gives China Mobile (CHL) a neutral 3 STARS (out of 5) hold rating. For a hedged play on China Mobile (CHL), look at the Dec '11 $50.00 covered call for a net debit in the $47.45 area. That is also the break-even stock price for this trade. This covered call has a duration of 96 days, provides 5.48% downside protection and an assigned return rate of 5.37% for an annualized return rate of 20.43% (for comparison purposes only). A lower-cost hedged play for China Mobile (CHL) would use a longer term call option in place of the covered call stock purchase. To use this strategy look at going long the China Mobile (CHL) Jan '13 $30.00 call and selling the Dec '11 $50.00 call for a total debit of $18.50. The trade has a lifespan of 96 days and would provide 3.39% downside protection and an assigned return rate of 8.11% for an annualized return rate of 31% (for comparison purposes only). China Mobile (CHL) has a current annual dividend yield of 5.19%. [FBB-Seven Summits Research]