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To: Knighty Tin who wrote (43904)5/28/1999 3:27:00 PM
From: John Pitera  Read Replies (1) | Respond to of 86076
 
Thanks for that elaboration and a very good point of the dec 17.5 put written will go to intrinsic value and just ride the value down dollar for dollar if the stock goes lower.

You have to remember that if the stock moves
down, your short will go close to intrinsic value fairly quickly while your long would pick up time premium.