Jim once said about options that usually they are executed if you you put in a bid 2/3 on the way from bid to ask.

My mini analysis of Hershey and - what I am interested in since years much more - Nestlé, and both are still not cheap enough for my taste (Nestlé, please, 10% lower - and I go full on!). Nevertheless with BCC all bullish I'd like to opportunistically bet on a Hershey bounce. With my "casino money" = options.

Contrary to what Jim said I found that I don't have to be that generous, that my orders which are usually only 1/3 on the way from bid to ask will indeed remain open most of the day - but that a good part of them will be executed shortly before the market closes, in the last moment.

Me thinking about the psychology behind that: People waiting and waiting for their greedy ask to be fulfilled - but in the end accepting a slightly lower price before being completely frustrated.

Will be interesting what happens with my Hershey orders today at 4pm :-)

Berkshire Hathaway FAQ

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