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To: Eddie Kim who wrote (72827)10/18/1998 2:13:00 PM
From: Chuzzlewit  Respond to of 176387
 
Eddie, could you explain to me how trading in options affects the price of a stock? Assume that I was a trader and sold 1000 contracts of XYZ NOV 60's. How would this affect the price of the stock? Are you contending that writing those options will cause the price of the underlying stock to change? Maybe I'm naive, but I just don't see the connection. I would think that the only way the price of the stock would change is if there were a change in either the supply or the demand of the stock.

TTFN,
CTC



To: Eddie Kim who wrote (72827)10/18/1998 9:27:00 PM
From: Kayaker  Read Replies (3) | Respond to of 176387
 
95% of options expire worthless

"...most do not expire worthless. The CBOE publishes an annual statistics booklet....The CBOE statistics indicate that approximately 35% of option contracts expire worthless."

quoted from the book...

Options for the Stock Investor
by James B. Bittman (Staff Instructor CBOE)