We should be able to roll down the 20 puts today. 19.60 bids in silver got filled overnight at it filled the open gap at .57. SLW needs to play some catch-up here and rip down a buck. I just kicked the silver shorts back out to hedge a plunge in SLW on the open, but 20.30-20.40 range could be fair value for 19.80 silver. .09c drop in SLW is attributable to the dividend, but usually fills back in due to div. re-investment policies. That being said, SLW is still weaker than silver in general and the puts should continue to payout a positive return on the hedge along with short silver.
With silver rallying and SLW falling, the selling interest is extremely high. This usually means we get a very negative close as desks mark their trades to market and will sell over the course of the day to make sure they come off profitable on the trading side. We should close near the lows. Silver at or near 20 and SLW under 20 would be a good buy on the close with a silver short.