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Technology Stocks : Dell Technologies Inc.

DELL 119.41

-2.7%

Nov 19 3:59 PM EST

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To: Kayaker who wrote (58311)	8/14/1998 5:34:00 PM
From: AlanH	Read Replies (1) of 176387

Bob Craig, re: Aug call holder in ungodly pain... I've no idea what strike/s you own, but you may be able to resurrect profits (or minimize loss) depending on your position. You probably already know this, but what the heck: Suppose you're holding 10 contracts of the Aug 115 calls; you believe the stock will rise, but not sufficiently by expiration (for whatever reason). You may elect (given authority) to sell 20 Aug 115 calls and buy 10 Sep 115 calls. The net effect is that you've closed the current (10 contract) position and written 10 Aug calls against 10 Sep calls -- all covered. Ideally, the position should be established with no debit (ie, additional funds); since that's not the case in our example, you'll want to weigh things carefully. Also, you'll want to communicate with your broker that the floor should view this as one transaction to minimize bid/ask spreads. Of course, this approach is not applicable for all cases, rather is provided as informational. Good luck.

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