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To: Land_Lubber who wrote (50424)	1/25/2000 9:29:00 PM
From: Glen2	Respond to of 53903

Lubber, the increase in volatility immediately prior to expiry, followed by the decrease immediately afterwards happens to all stocks. And indices. I'm not aware that anybody uses this technique routinely. Where I do use this phenomena is with higher priced, more volatile stocks. I buy the underlying, write both puts and calls. If the underlying turns south, I sell the long stock and then short it, as protection against the short put. This technique is profitable mostly for high-priced, very volatile stocks. Meanwhile, I'm looking forward to the answers to your question about "what margin is required for short puts." Good trading, Glen