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Strategies & Market Trends : Option Spreads, Credit my Debit

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To: dealmakr who wrote (474)2/9/1999 9:04:00 PM
From: NateC  Read Replies (1) of 2317
 
If
you are short the 105 puts, it wouldn't happen with the stock at 98 1/2. If you are long
the 100's, you could exercise the option or short the stock to lock in a profit.

I'm sorry...a little dense....and rEALLLY inexperienced...but could anyone explain how selling short locks in a profit on this trade. I'm long the Feb 100 Puts, the stocks at 98...so briefly run through the shorting transaction, and how it works, if you would please.
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