Talk:Pin risk

Clearer distinction
I think this article would beneit from a clearer distinction between: EdwardLockhart 09:00, 29 April 2007 (UTC)
 * The phenomenon that stock prices sometimes get pinned to strikes shortly before option expirations, presumably due to option hedging activity
 * The fact that exercise may be notified after the cash market is closed, causing difficulties for option writers if the stock price is near to the strike


 * Agreed. I think the tendency to move towards strike levels isn't necessarily a separate idea, but rather an effect of the actions of long gamma hedgers. By all means please add what you think would be helpful. Ronnotel 13:53, 29 April 2007 (UTC)