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Non-Tech : Paired Trades and Hedging Strategies

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To: Biomaven who wrote (51)12/14/2004 5:15:14 PM
From: Sam Citron  Read Replies (1) of 136
 
I do not find the spread so onerous as to be the overriding consideration here. I often find where the spread is a dime, I I can come in at a nickle and eventually get a fill.

In the present case, the Jan 37.5 call is $1.60/$1.70.

Would it not be more advantageous to roll over to this OTM CC instead of holding the deep in the money Jan 30 (6.90/7) until expiration?

I get the feeling I am leaving money on the table by sitting on a position that has so little time premium in it?

Sam
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