re: naked call risks
Thanks, SB.
I realize that a single issue can do great damage, even on the short PUT side. Therefore, I always limit my exposure in any single issue.
Since I operate from a cash basis, for the short CALLs I'm prepared to buy the stock should it begin a run. That should cap my risk. The weakness here seems that should it run, then I buy, then it tanks, I'll have to be quick to get out.
Since this side is new to me, I'm walking gingerly, watching everything, and most appreciative of any advice. Thanks again.
Tom |
