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Biotech / Medical : Ligand (LGND) Breakout!
LGND 192.97-1.6%Jan 16 9:30 AM EST

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To: Dan O. who wrote (4783)8/14/1997 3:31:00 PM
From: Xingbo Wang   of 32384
 
OFF TOPIC. Dan, I use naked puts almost exclusively for the purpose of picking up stocks I like at less than the market price, as long as I believe the stock will not just runaway from me and leave me empty-handed. I don't use them as a tool to gamble, and I don't leverage. Whenever I sell naked puts, I always have the cash ready to buy the shares.

Sometimes there is significant parity between call and put premiums. So anyone thinking of doing covered calls or naked puts should calculate both ways and see which is better.

Xingbo
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