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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: SMALL FRY who wrote (44877)	6/17/1999 12:03:00 AM
From: rod runyan	Read Replies (1) \| Respond to of 120523

Selling Puts: I only did it once, on CKFR right before earnings last August. I had met the CEO & CFO at the CKFR investor conference in Florida & was extremely confident they would meet their upcoming quarterly numbers, which they did. However, at the same time, they guided analysts expectations lower for future quarters and the stock opened the next day @ 50% of the previous day's sale price. I failed to imagine that scenario utterly and it set off a chain of events which nearly wiped me out when the puts were exercised against me and the general market foundered last fall. Personally, i had to swear off of both margin & put selling. Anyway, you are right in that selling Puts is like going long, but you lose control over when you sell if the trade goes badly against you. There are many on this thread who have probably have more experience than i with this method & certainly almost anyone else must have had better results. imho rod