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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: Herman J. Matos who wrote (1270)3/18/1997 8:31:00 PM
From: Jeff D. Krueger   of 14162
 
In reference to you saying, " If only 20 percent of option are ever excercised.....". I am asuming that you mean that 80% of options expire worthless.

I just picked up McMillan's "McMillan on Options" (This book has been stated as being the cc option writer's Bible). Page 16 and 17 He talks about what percent of options expire worthless and he states that in his over 20 years of experience that his general feeling (he is taking a guess) that the count is 50-50 - meaning that 50% of options expire worthless.

My question to you is do you agree with this and am I reading everything correctly?

Please clear up this confusion.

Thanks,

Jeff
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