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Strategies & Market Trends : The Covered Calls for Dummies Thread

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From: ValueGuy3/29/2011 7:54:40 AM
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Hi Guys

I like the look of this thread. Am a complete newbie when it comes to writing calls (or anything other than buying or closing call options for that matter!) so I find this thread really great.

Been reading the McMillan book (haven't gotten very far though!) and I must say it is indeed a tome for anyone wanting to learn options.

An immediate question I have is, is it extremely risky to write naked calls? Will you lose out big time if you end up having to fork over stock you don't have, or will the loss be sufficiently offset against the premium that is collected, much like what happened in one of your posts recently?
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