On 12/127/07 at 8:28AM I posted the following: “Added 10 blocks at 7.61.  I don’t want to write calls against the shares because the plan is to generate a quick profit by potentially selling intraday. However, I will hold in the event the shares decide to test lower.”  That said, in the past several trading days, the shares tested 7.37.  Momentarily, the shares are up .26 back to 7.57.  To guard this upside, I decided to hedge my 10 blocks with the Jan strike 7.50 calls at .47/contract times 1000 contracts.  Since my shares were bought at 7.61, if they get called away by expiration as a result of AMD closing above 7.50/share, I’ll walk away with .36/share times 100,000 shares.  I like that return in the time remaining to expiration and don’t want to lose today’s upside.

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