What is the meaning of OVERWRITE?

OVERWRITE is the writing of more options than one expects to have exercised. Call options are overwritten because the writer considers the underlying overvalued. Put options are overwritten because the underlying is considered undervalued.

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APABarry Goldsmith. (2010). overwrite. Retrieved September 20, 2026, from http://smartdefine.org/overwrite/definitions/1160051
ChicagoBarry Goldsmith. 2010. "overwrite" http://smartdefine.org/overwrite/definitions/1160051 (accessed September 20, 2026).
HarvardBarry Goldsmith 2010, overwrite, Smart Define, viewed 20 September, 2026, <http://smartdefine.org/overwrite/definitions/1160051>.
MLABarry Goldsmith. "overwrite" 21 October 2010. Web. 20 September 2026. <http://smartdefine.org/overwrite/definitions/1160051>
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