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Technology Stocks : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?

To: D VanSwol who wrote (18213)	9/17/1998 10:23:00 PM
From: Linda Kaplan	Read Replies (1) \| Respond to of 213177

Dennis, I haven't studied how reliably that pattern occurs and how much the stock price moves, but it could work if the price of the stock moves enough. Here are the problems in regard to trading options: There is a (often large) spread between bid and ask and you can usually not buy in between that spread. So you have to cover that spread twice. For example, say the option is bid at 3/4 and ask at 1, you must pay 1 to buy it. Then, to sell it, if the option has moved up to bid at 1 and ask at 1-1/4 you have only broken even on the price, without having covered your double commission. So the stock has to move extra, for you to make a profit in the options. Do you have a study on Apple stock and how much its price moves before and after options expiration? This could be a good idea. Linda