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Non-Tech : The Critical Investing Workshop
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To: Len who wrote (7085)3/12/2000 5:32:00 PM
From: Clappy  Read Replies (3) of 35685
 
I usually save my dumb questions for PM, but I figured there might some other newbies with this question.

Let's say I bought 500 shares of ELON Plus an additional 500 shares using margin.

Question 1.
Can I write covered calls on all 1000 shares?
April 90s paying almost $20ish.

Question 2.
Can I now use the money paid to me from premiums to buy additional shares of ELON and thus write additional calls on top of those shares?
This would make a profit of perhaps 50% in one month.

Question 3.
Would this be wise or silly?
What might a better scenario be?

Thanks,

-StudentClappy
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