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Strategies & Market Trends : Ask DrBob -- Ignore unavailable to you. Want to Upgrade?

To: gongoman who wrote (44306)	9/21/2001 10:32:03 AM
From: Louis V. Lambrecht	Respond to of 100058

gogoman - most options have their last trading day thre 3rd Friday of the month. They expire the next day, usually the Saturday. The next trading day, usually the Monday, is the exercize: delivery or cash settlement. Plus all possible variants, hollidays, American or European style....

To: gongoman who wrote (44306)	9/21/2001 10:44:56 AM
From: Louis V. Lambrecht	Read Replies (1) \| Respond to of 100058

sorry gongoman, re-read your post. Blinded by the Sun all of a sudden here and can't see whozon my screen. Yes the exercize day (first hour and a half of the session) is influenced by the covering buys or sales. These operations are of the same order of magnitude than the Maxpain or "higher open interest" theories: IMHO, influence on the markets, but not to the extent theorists are saying. Most of the open-interest has been rolled over either at the end of the preceding month, or at least 2 weeks before expiration. OTH, options specialists hedge as soon as they sell a contract. IMHO, options expirations buzz is due to speculation and last minute attempt of the options specialists to make an extra Dollar. This time, still IMHO, it is not that much options expiration that we should care about, but the margin calls. Rich families (as the Bass) face margin calls, maybe for the first time in their lives. And we speak of$millions per account.