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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?


To: Tom Trader who wrote (29445)11/24/1997 7:42:00 PM
From: Jerry Olson  Read Replies (2) | Respond to of 58727
 
TT

Didn't mean to butt in here, butt I have an interesting bit of info for you..

Last week, on thurs all 3 of yoou guys had a buy on the market...

I called my BB, and had him check the Nov OEX 910's and 915's...

When the OEX was 913+ the 910 strike was 7 3/4 & the 915 was 4 3/8ths...

TT here's the best part, Nemers sell point was 920...at 920 the 915 call for NOV was 9 1/2....yes I said 9 1/2...TT the 915 strike was now 5 points in the money but still kept the premium of 4ish, just 1 day before Option Expiry...

I was flabergasted...and so was my BB...he couldn't believe it!!!

Comments????



To: Tom Trader who wrote (29445)11/25/1997 1:11:00 PM
From: kajtek  Read Replies (1) | Respond to of 58727
 
My comment was that on top of premium decay the spread between bid and ask in index option trading (often two dollars or more) would make less profitable option trading compared to future tradinfg if both use exactly the same in and out points.
I did not say that it would not be profitabe.