Hi Dawg; Glad to hear your calls are looking good, I bought some
back last week, March, and put them out to June along with some
new stock I picked up. ( wanted them all in one place as it's
cheaper on my commissions if I decide to buy them back )
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I have not been a call buyer on CMO, I've been a writer of covered
calls, When I saw that pop today I said to myself I had wrote to
soon, and maybe I ought to buy them back. But after thinking that
trough I doubt I buy them back.
Here is my angle, I sold the June 5 calls on stock I had 4-1/4 in
and got 1-1/16 for them..so that gives me 6-1/16 on 4-1/4 if they
are called , or 1-15/16 , or you might say 45.5% premium on the
money I have tied up, plus I get to use or draw interest on the
1-1/16 that went into my account.
At any time between I can just buy more stock, if I want
and let that what I have get called, that's a wash for me. And my
early 4-1/4 stock, is sort of insured down to 3-3/16 before
I actully book a loss.
The way I'm doing it if you bought my calls you would likey have
to exercise or wait to the very last to sell them back to me,
as I would only buy them back if the cost was cheaper than
the transaction would cost me, and that's not likely.
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It's odd but I find myself happy she went up, and wishing
for a dip all at the same time . <G>
Jim |
