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Technology Stocks : Dell Technologies Inc.
DELL 120.60+1.8%Jan 9 9:30 AM EST

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To: Mike who wrote (153371)2/9/2000 1:54:00 PM
From: rudedog  Read Replies (1) of 176387
 
Mike -
In 1999, I managed to make an additional 10% on my DELL holding by selling covered calls and puts - this gain nearly made up for the decline in the price of the underlying... but options plays are inherently high risk in comparison to holding the underlying, and the implications on your margin account and the considerations you should make (and what attitude you have about the underlying) are critical to both your comfort level and chances of success.

I use some very simple guidelines for determining what plays I make, and one of them is to have a good idea of the dynamics of the play and the downside risk. In that context, these discussions seem pretty on-topic to me - although perhaps we have beaten this particular horse (put sales) to death...
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