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May 13, 2009

Test Your Knowledge

You own 200 shares of JGA at the following prices: $34.28, $30.00, $27.92. It’s Trade Day and JGA is trading at $25.75. You buy your shares and Bundle like a pro. You start to zoom right through your recordkeeping, but when you get to your Band Rule worksheet, you’re stumped. The strike prices on the option chain are in $1 increments:

Your current Band Rule Worksheet looks like this:

What should you do?(poll)

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