SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Intel Corporation (INTC)
INTC 48.72+3.0%3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: maui_dude who wrote (137544)6/18/2001 12:45:40 PM
From: GVTucker  Read Replies (1) of 186894
 
maui dude, RE: For all the wisdom about 'one should never time the market (and hence not invest accordingly)', I believe you have to predict the market to some extent. ANd if you are timing the market, what better way than to leverage than using options (even buying calls in some situations).

And hence we get to the crux of my disagreement with the covered call crowd.

First of all, I don't think anyone can time the market. I certainly haven't seen anyone do it consistently and profitably. I even think that timing individual stocks on a weekly or monthly basis is very, very difficult. Granted, I have seen a few people do this well, but part of my bias comes from the fact that I know for sure that I can't do it well.

Finally, if indeed you are one of those rare individuals that can time the market consistently and profitably, why mess around with options? You might as well go with futures, where the liquidity is better and the leverage is greater.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext