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Answer: Sell call options
To reduce positive gamma, one needs to sell options. When call options are sold: - The position becomes gamma-negative (reduces positive gamma) - Delta becomes negative - To maintain delta neutrality, one must buy the underlying stock This contrasts with selling put options, which would also reduce gamma but create positive delta requiring stock sales to maintain neutrality.
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A
Buy call options
B
Buy put options
C
Sell put options
D
Sell call options
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