How would you delta hedge a deeply “in-the-money” short put option?
A. Go short of the underlying commodity equal to 50% of the size of the option contract
B. Go long of the underlying commodity equal to 50% of the size of the option contract
C. Go long of the underlying commodity equal to more than 50% of the full size of the option contract
D. Go short of the underlying commodity equal to more than 5O% of the full size of the option contract
Proper solution is given.
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