How To Write Covered Calls - An Ongoing Real Case Study! Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: RayV who wrote (9556)	2/2/1999 6:56:00 PM
From: Herm	Read Replies (1) of 14162

Yeah Ray, TECD - BARGAIN ON SALE! I noticed the 11 1/2 (-36%) point dump today on earnings release! I experienced the same thing myself with TECD when it dumped 9 points in one day about two years ago. TECD is a heck of a bargain at these levels. TECD had been trading about 800,000+ and today TECD traded a massive 13,000,000+ with 183 large blocks! WOW! The last tick was up on 8,000 shares. Earnings were pretty good for this quarter and the year! But, they warned of weaker-than-expected earnings for the next two quarters. They do have a large stake in Latin America. NASDAQ: (TECD : $20 5/16) $978 million Market Cap at February 2, 1999 Ranks 282nd in the Fortune 500 on Revenue & 695th on Profit. Employs 3,405. Trades at a 64% Discount PE Multiple of 7.3 X, vs. the 20.0 X average multiple at which the Retailers of Electronics & Computers NOW WHAT? - FAST GAIN ALERT! REBOUND! I would expect a technical dead cat bounce this week. TECD is oversold bigtime at this point. The PUTs appreciated like crazy today! Notice a massive open interest of 1,019 TECD PUTs for the 40s FEB @ 20 last up +$11 1/4 today! Hey, that was no accident! You can bet they are going to cash in those PUTs since TECD hit s 52-week low of 19 3/4 today in all the panic selling! You need to average down Ray! Wait for that rebound and then sell CCs as far out as you can and lock in the premies. It going to be a long stretch before TECD recovers. Look for four to six months!

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next