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Strategies & Market Trends : The Covered Calls for Dummies Thread

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To: FaultLine who wrote (532)5/11/2001 11:14:02 PM
From: rocklobster  Read Replies (4) of 5205
 
I've just spent the past five hours reading this thread from beginning to end. I enjoyed the mathmatical discussions,>still scratching head< LOL.

Here is my question. I am setting up an account for doing a covered call writing campaign.

I need some suggestions on stocks with high premiums. Please only suggest stocks that won't go down. gggs. my strategy is going to be to achieve an 8% compounded monthly return over a one year period. I want to buy the stock and immediately write ATM or slightly OTM calls for an 8% premium each month. 8% compounded for 12 months is 250% annualized return.

so now, any ideas for stocks with 8% premiums that won't go down? If you have a stock that dips slightly below the strike price on expiration day while still maintaing 8% premium for next month this would be ideal..heheehehe

Thanks in advance.

rok
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