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Non-Tech : The Critical Investing Workshop

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To: Voltaire who wrote (10703)4/3/2000 7:10:00 PM
From: pinhi  Read Replies (1) of 35685
 
V, In the Beano stress reduction program would you just continue to write calls on your vehicle month after month?

For example:

ELON is the vehicle, wrote em last month a 96. Now would we just write 'em again at say 55? (Today is not options expiration day, but lets pretend it is).

Then next month, say ELON is back at 66-write em again, and on & on, month after month no mater what the price?

Seems to me maybe you would buy a little more while the price is down and then write more calls or would you consider changing vehicles after such a drop.

I feel this drop provides a good example of what will happen many, many times over our investing lives with any stock. Remember the 46% drop in CSCO in fall of '98. It happens to ALL of 'em.

Pinhi
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