Monday, December 21, 2009

[ConservativeOptionStrategies] MNTA

 

Group
 
Last wens I opined on the wisdom of rolling out the Dec 12.50  MNTA  to a Jan 12.50 by puirchasing the Dec for a nickle and selling the Jan for $1.10.  I peeked at the Jan $12.50 today and it was at a lofty $0.70/ $0.60 (bid/ask)
This is an object lesson in: whenever expiration gets close,  if your sold oiption is near worthless, if the next month looks juicy, roll out,  give up a bit to make a lot.
 
John

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