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Technology Stocks : Dell Technologies Inc.
DELL 122.46-8.5%Nov 17 3:59 PM EST

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To: freeus who wrote (127161)5/20/1999 1:54:00 AM
From: PAL  Read Replies (4) of 176387
 
Isnt this the time to sell puts...when the stock price is low?

No.
1st: we are entering summer months, historically slow for pc
2nd: expiry dates for aug nov are right after dell's earnings announcement, and the past two q's dell had been pressured by analysts (niles, kumar, young). there might be a copycat for next report.
3rd: premium not that appealing, especially for strike price 40. any strike price higher than that would be too risky (unless leap).
4th: analysts keep talking about valuation of dell.

if you really want to sell puts on dell, try jan00/40 at 7 1/2 or jan01/45 at 14. since they are leaps, they move slowly even if the stock heads south. you can close the puts at anytime, and don't have to hold until expiry.

imo there are other stocks which are more profitable in selling put.

awaiting for edamo's opinion. i still owe him a lollipop.

regards

paul
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