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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 ()2/23/1997 8:52:00 AM
From: Dr. Edwards   of 14162
 
I am curious if anyone has any insights into MM activity on expiration date. I sold feb 35 cc on two stocks (AOL,AMD). I was hoping to get called out on both. AOL traded in the 34.2-34.5 range until the last hour or so when it jumped, on very low volume, to close at 34.875. AMD traded in the just over 35 range until the last hour when it dropped, again on very low volume, to close at 34.75.

I have two questions:

1. Is there an advantage to the MM to "help" these stocks close on expiration day just under the strike price? If so, please help me understand.
2. If the MM did influence late day pricing on these two stocks, what would you expect to happen to their prices on Monday, all else being equal?
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