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Politics : Idea Of The Day

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To: Electric who wrote (12706)10/24/1997 11:54:00 AM
From: Mark  Read Replies (1) of 50167
 
Electric, re: IBM call values:

Thanks for the info again! Just beware - you sound like me over the last 2-3 expirations on IBM where I would have preached the same thing but where those contracts never recovered their premiums because they were swimming against the tide of impending expiration. Once you reach the part of the curve where you find decreasing marginal premium value per even positive stock movement then you're kind of stuck (been there, done that - unfortunately).

Please be careful especially in this market where logic doesn't necessarily prevail. Big blue can be the "whipping boy" of the dow - seceretly one of those great stocks that WS loves to beat up & use to take candy from babies (in the form of call $).

Thanks for your help,

mark
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