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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: IceShark who wrote (32335)	9/7/1998 1:05:00 PM
From: Knighty Tin	Read Replies (1) \| Respond to of 132070

Icey, Yup. It is called a spread order. You place an order to sell the ones you own and buy new ones at a set spread in prices. That way, the absolute prices don't matter much except to the IRS. So, you might sell Oct 110 puts and buy Jan 80 puts at a credit spread of $21. Usually, you will be executed fairly quickly if your spread is near the bid price on the sale and the offer price on the buy. If you try to get in between, then they will play games with your order, but often fill you at a better price. The real problem is that nobody wants to be long the deep in the moneys as they require a lot of capital, so you may even get a negative intrinsic value of an eighth or so on the sale. BTW, be sure you emphasize to the broker that the sale is closing and the buy opening. Otherwise, your next account statement will look pretty long and the margin dept will have a party on your fees. -g- MB