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Non-Tech : Auric Goldfinger's Short List -- Ignore unavailable to you. Want to Upgrade?

To: Sir Auric Goldfinger who wrote (8423)	11/8/2001 10:51:45 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 19428

That's right. If you can sell some overpriced call with the knowledge of volatility deflating deals (which was the case here), then it is easy. Problem was, NOCs vols were low (in my understanding, and hence should have increased), so there was little to gain (or little to lose in the case of the long puts), and tough to get out calls at a reasonable price. The deal worked out, as it got obvious with NOC still well above 100, at a time when the calls were still a bit overpriced. Expiry-related issues (merely the 11K P95) will keep it over 95 for the next week, perhaps we see lower prices later. NNS a collared deal, right?