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Non-Tech : Paired Trades and Hedging Strategies -- Ignore unavailable to you. Want to Upgrade?


To: Biomaven who wrote (47)12/14/2004 4:06:02 PM
From: Sam Citron  Read Replies (2) | Respond to of 136
 
Suggestions sought on deep-in-the-money option position:

On 5/26/04 I bot 500 QLGC @ $28.09
On 10/20/04 I wrote 5 Jan 30 CCs @ $2.05
On 12/14/04 QLGC = $36.65 and the CCs = $6.90

Do I just sit back and wait for the options to be exercised and "cry all the way to the bank", or roll the option over?

In the past I have always (naively) done the former. Are there other "options" worth considering? How do I make a reasonable decision?

SC