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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: Herm who wrote (8940)11/5/1998 12:14:00 PM
From: Cents  Read Replies (3) of 14162
 
Threaders, I just discovered CC writing. I own 200 shares of IOM @9.5

yesterday, at my brother's urging....I wrote my first calls 2 Nov 7.5 @7/8. The stock appears to be in uptrend and is at 9. For some reason I feel that I have not taken advantage of this runup and may have written the CC too early. I'm somewhat confused about the bid and ask prices when it comes to writing the CC's.
Can someone please explain how the bids and asks are related to selling covered calls and cash-secured puts?

Thanks in advance.

Cents
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