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Re: OPTN: Market on Close



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I know what it means to amortize my home loan, 
but what does it mean to amortize an option?

Ira  wrote:

> The best way to buy an options is to know what its theoretical value is at
> a given price.  If you are going to trade the underlying for a period of
> time and amortize the value of the option then 1/4 or 3/8 isn't going to
> make much difference.  Ira.
> 
> Mervin Yeung wrote:
> 
> > Hi RTs,
> >
> > I am trying to use options to replace stops.  I worry about the
> > liquidity.  I know the close is usually the most liquid of the day.  I
> > wonder if I use Market on Close Order to buy calls or puts right at the
> > close, is it a good way?
> >
> > Thanks in advance!
> >
> > Mervin
> 
>