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To: Darth Trader who wrote (42344)5/6/1998 9:37:00 AM
From: Patrick Slevin  Respond to of 58727
 
It's not a naked trade. There is no exposure, because Donald is long the 540 puts <e>



To: Darth Trader who wrote (42344)5/6/1998 9:41:00 AM
From: donald sew  Read Replies (2) | Respond to of 58727
 
Darth,

>>>> ((OEX 540 puts and sell the 530 puts, since its the first time I did it)) - Given the rich premium it seems quite prudent. What is the underlying security value in order to figure margin required? 1 contract = $54,000? My broker requires 30% margin for writing naked. <<<<<

Im no expert here as to the security value. Its not a concern in this trade since I already own the the higher/more valuable put.

Seeya