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To: Voltaire who wrote (7959)	3/17/2000 10:57:00 AM
From: Getch	Read Replies (1) of 35685

Morning Volt, call should not have moved lock step and therefore would be going for about $18. In this example, we had... Buy QCOM at 130 Sell Apr 132.5 CC for $11.50 QCOM stock goes to 160 Yes, the call price will not move in lock step (dollar-for-dollar) initially. Jim Willie posted a good chart last night (#7829) of the sliding deltas of options compared to their status deep in the money through far out of the money that was a "printer". This is an example of a call that will shift from at the money (move about 3/8 point per common point rise) to deep in the money (move about 3/4 - 7/8 point per common point rise). Figures from JW's post. At QCOM = 160 the 132.5 call will have $27.50 of intrinsic value and should trade for at least that amount.

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