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Strategies & Market Trends : The Covered Calls for Dummies Thread -- Ignore unavailable to you. Want to Upgrade?


To: Andrew N. Cothran who wrote (3054)11/19/2001 11:18:55 AM
From: Andrew N. Cothran  Read Replies (1) | Respond to of 5205
 
Forgot to include the $30 charge for the exercise of the 1500 shares. This charge reduced profit to $765.05



To: Andrew N. Cothran who wrote (3054)11/19/2001 11:54:34 AM
From: slacker711  Read Replies (1) | Respond to of 5205
 
What I don't understand is why only 15 of the 20 contracts were exercised. Why would someone leave the other 5 contracts on the table

Your contracts may have been split up and resold multiple times. If those 5 contracts had ended up in my account, I would have allowed them to expire worthless. In fact, I wouldnt have wanted an automatic exercise. Why take the risk that bad news comes out on Monday morning for 8 cents?

Slacker