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Biotech / Medical : Biotech Valuation -- Ignore unavailable to you. Want to Upgrade?


To: Casaubon who wrote (14516)12/5/2004 4:39:43 PM
From: Biomaven  Respond to of 52153
 
<SEPR>

why hold long calls? Why not sell CC's instead?

As I commented, the implied volatilities were very low. I actually bought a few some December calls a few weeks back with IV's under 60% which seemed ridiculously low to me. They are now higher, but still fairly low.

Bottom line, if IVs are low compared to the actual volatility you expect, you want to be buying options not selling them.

Peter