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Technology Stocks : Dell Technologies Inc.
DELL 133.20+5.7%Nov 26 3:59 PM EST

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To: edamo who wrote (111884)3/24/1999 6:42:00 PM
From: yard_man  Read Replies (1) of 176387
 
If you keep the money to buy the shares that might be put to you -- your risk of selling the deep in the money put is little different from holding the stock long ...

but if you roll the proceeds into the same issue you have compounded your exposure and must have funds to cover the stock purchase from somewhere else.

Selling so deep in the money doesn't allow you to get that much premie -- would be better to sell close to the money.

But all this is predicated upong a bullish view for the underlying which I must say I do not share at all.

Somehow if you invest in DELL you can safely ignore what is happening to all the other sellers of PCs I suppose, but I don't think it is wise. DELL isn't gaining market share that fast and if it were it would be at the expense of profitability.

Selling puts can be a winning strategy, but not on one of the darlings stocks in a bull market which is in its latter stages with fewer and fewer stocks leading the pack.

I wish all put sellers luck, because they are going to need plenty with this stock ...
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