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Technology Stocks : Applied Materials No-Politics Thread (AMAT)
AMAT 256.40+1.1%Dec 19 3:59 PM EST

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To: robert b furman who wrote (9919)5/21/2004 1:36:59 AM
From: Sam Citron  Read Replies (1) of 25522
 
Hi Bob,

I like naked put sales as a way of buying stocks I am interested in at below market prices. If I am very bullish, I may use the premium to buy an out of the money call on the same stock at the same time.

If you like Oracle, I am surprised you would put in a stop loss at 9.90, instead of using such market volatility as an opportunity to take a second helping. But then again, everybody has their own comfort level and risk tolerance.

Zeev Hed, who is a pretty good trader, will often take up to three servings of a stock at successively lower levels before he sets a stop limit order.

If this is your biggest laggard and you have a small profit in the position, you are doing very well in a rough market.

Sam
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