Linda, your leaps were and still are a good hedge if the deal falls apart with VLSI remaining a vibrant, healthy independent company or the company going for even more $ than 21. (I sold the last of my VLSI shares a little while ago for 19 3/8 and have only options at this time) I, for one, will be very interested in seeing what price action will be in the next few days. There is NO intrinsic need, in my opinion, to close out an option position right away.
As much to the point as anything else, last week, there was a 6,000 contract June strangle on VLSI that made the news. Puts at 17.5 and calls at 20. If, in fact, VLSI goes for 21, it appears that, given options costs, the strangle really didn't work... (Ok, sometimes you are the bug and sometimes you are the windshield, but still...) Now, either that person (company) was VERY foolish or the game isn't over yet... Another link in the conspiracy theory. |
