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Strategies & Market Trends : The Covered Calls for Dummies Thread

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From: Uncle Frank2/27/2006 11:31:23 AM
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Hey, what have all you dummies been up to? There are some good premiums floating around these days!

Take Sandisk as an example. It caught my eye on Friday, when it was trading at 56.64 and the bid on swfdl (April 60 calls) was $3.70. I initiated a buy/write play, but the stock dipped to 56.30 immediately after my order filled (of course) and the option, which was a limit sell order at 3.70, never executed :-/.

I had a very pleasant surprise when I checked sndk this morning and found it trading at 61 :-). I think I'll leave it alone for a while before I write the call.

uf
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