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Why did the option on the table change?

Solution

Occasionally the listed option for a particular sector will change slightly (usually the strike might change by one or two price points) after the original trade date.

This is on purpose, for those that are late to enter the trade, and is the most ideal option to choose at that point in time.

However, once you purchase an option and get into that sector, there is not need to change options, the only time we do that is when we exit the sector and sell them, or if we get to within 30 days of expiration, and then we roll them, by selling our current option and buying another more months out...

 
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Article details
Article ID: 19
Category: ETF Tipping Point
Date added: 2013-08-12 15:24:03
Views: 642
Rating (Votes): Article rated 3.1/5.0 (173)

 
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