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Strategies & Market Trends : Options

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To: Poet who wrote (4234)3/6/2000 1:10:00 PM
From: PAL  Read Replies (1) of 8096
 
Some people like to hang on to March put options which are selling under a dollar, awaiting for the satisfaction of watching those to expire worthless. I prefer to close the position buying them back which opens capacity and sell more put option of a later expiry month and even at at higher strike price (roll out and up). What comes in the pocket is more important than a enjoyment that the option has no value 2 weeks from now.

Paul
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