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Strategies & Market Trends : The Covered Calls for Dummies Thread

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To: Dr. Id who wrote (2626)10/11/2001 11:27:23 AM
From: Uncle Frank  Read Replies (3) of 5205
 
It's tough to write calls into a wildly oscillating market. It feels too much like rolling dice. The slow process of eroding time premium is dwarfed by daily swings, and if your timing is just a little off, you can smother some superb opportunities for appreciation of the underlying stock.

I generally try to stay uncovered through earnings reports, and have held to that practice this quarter based on what I feel to be severe undervaluation of my core holdings and the small possibility of an upward correction.

>> DrId@whattodo?pov

Sometimes the most productive thing you can do is nothing.

jmho,
cuf
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