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How to minimize time
decay
·
Sell any at the
money or out of
the money
options with 30
days left to
expiration. Time
decay
accelerates
quickly during
the last 30 days
to expiration.
Out of the money
and at the money
stocks have no
intrinsic value,
so they must be
made up merely
of time value.
·
Buy short term deep
in the money options
with lots of
intrinsic value and
nearly no time
value. When there is
no time value in can
not decay over time.
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