Mr. Latts,
What did my post say about what goes wrong with covered call writers?
My post was directed at a lack of performance by the broker, involved a daytrade short, and did not involve calls at all.
CYMI is an excellent trading stock. It has a significant amount of volatility, makes decisive intraday moves after establishing a clear trend and has a reasonable amount of volume. (Clear trend important, I have a real job as well...)
I shorted CYMI at 11:08 at 44 5/8 on an uptick after the drop from 44 7/8. As stated in my post, I attempted to cover at 41 at 13:42+ and 675 were purchased. I reentered the buy order for 325 more and filled at 41 1/2, finishing closing the position at 14:03.
My post had nothing to do with covered calls. How can you point to a profit of $3431.04 (after commissions and SEC fees) in less than 3 hours as a negative example?
CYMI may be your sacred cow, bow often and have fun, but I'll treat it as a cash cow -- long, short or sideways.
Ira
BTW, covered call writing has it's place. As does CYMI as a long in a long term account. |
