Yes, or even $35, or $30. You really want to give yourself a little breathing room, and in the beginning, deep 'in the money' seems to me the best way to go (or a lot of time value, which is not my personal favorite unless I am abolutely sure of my play). There is some resistance at $40, as you know, and the MM's like to bring the options right up to the resistance point and hold it there until your money is all used up due to time decay. I just had this experience with KMX. It went back and forth between 30.50 and 29.50 for a month while the mm's worked both sides of the strike price.
That brings up another question. An experienced options play I know once said that his stop is a lot tighter with options.
Even though QQQQ is oversold on the daily and looking to go up, and the cyclic low may be in, i.e., chances of you making some money on this play very good - it's still good to follow the above principles.
This is all my opinion, and I await Airedale's final verdict, lol.
Deva
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