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Strategies & Market Trends : The Covered Calls for Dummies Thread

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To: Joshua Corbin who wrote (259)4/25/2001 5:55:24 PM
From: Uncle Frank   of 5205
 
>> I think of my portfolio in terms of years down the road, while CCs still leave you plotting strategy on a daily or weekly basis.

Actually, the covered call tactic doesn't interfere with a ltb&h strategy, but you are correct that it can be quite time consuming.

>> you can wind up selling off part of your position and losing the chance at long-term gains.

Since I operate within an ira, I do exercise a taxable event or even sacrifice my holding period by getting called out of a position. I have re-established both my qcom and sebl holdings since I was called out last Friday, and in the case of qcom, at a lower price than I was called at.

>> It just looks like plain-old leverage to me

Then I'd suggest you do some investigation, because cc's are not related to leverage.

duf
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