On the other hand, if a trader does find short call inventory on their sheets, it will match an equivalent amount of long GILD stock that it’s hedging.No short calls on the sheets means there’s no exercised long stock either. Assignment results in the positions cancelling one another out.The crux of this positioning is whether the short or sold call contracts from all the verticals remain in your trading account the next day.Traders making a play on the dividend want to remain short a call that’s hedged aga ...

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