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To: Geoff Nunn who wrote (151049)1/11/2000 3:13:00 PM
From: GVTucker  Respond to of 176387
 
RE: limit vs market orders for options

My options trading days are for the most part behind me, but I still execute a trade from time to time.

I NEVER put in a market order for options. Even if I'm buying at the offer, I'll put a limit in at the offer.

It would certainly be fine to put an order in between the bid/offer spread. In fact, you would be entitled to a fill if the option traded below your limit (assuming you were buying), so it is nothing like the old Nasdaq days. The one caveat here is that while you would be entitled to a fill if you were traded through, that wouldn't apply if you were traded through on another exchange for an option with multiple listings.

Is this clear? If not, PM me.