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

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To: NateC who wrote (10019)3/21/1999 9:24:00 PM
From: Roy Travis  Read Replies (1) of 14162
 
One of the first things to do when you find a stock with an unusually low volatility like VLSI is to check the news stories for the last few weeks to see if it might be in a takeover situation which would put a lid of price movements. And in fact that is what's happening with VLSI. They were approached with an offer by Phillips.

On another subject, for a really excellent discussion about how to pick the best strike when CC'ing against Leaps, look at this from Bernie Schaeffer's site. The rest of the Q&A archives on this site are also worth looking at.

optionsource.com

--Roy
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