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To: skinowski who wrote (12133)	11/22/2010 7:01:55 PM
From: Patrick Slevin	Read Replies (1) of 15361

I do that from time to time. For example on AAPL's swoon below $300 last week I bought Feb 300 calls. about $21 each. Then on the rally I bought Dec 300 puts and simultaneously wrote this Friday's 310 puts for exactly a dollar debit. AAPL has weekly options expiration. So on the rise today I wrote this Friday's 310s for 4 bucks against my Feb 300s. The logic is, either the puts or the calls will expire worthless Friday. If AAPL finishes above 310, I buy in the expiring 310 calls, write next week's calls, and allow the puts to expire and write next week's puts. Meanwhile, sure the Dec puts are lower but then they only cost a dollar each (net), and I should be able to get more than that this next time around. Of course, the Feb 300 calls are in the black $6.50 each. It's an experiment. I also have stock in case I get called away early but I think that's unlikely. I can try to keep you updated on the trade's progress as the months roll on if you like.