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Technology Stocks : JDS Uniphase (JDSU) -- Ignore unavailable to you. Want to Upgrade?

To: KY who wrote (466)	6/30/1999 3:22:00 PM
From: Michael Young	Respond to of 24042

A good way to "hedge" somewhat is to sell covered calls against your position. Calls in UNPH are very, very richly priced. I sold the August 175 calls against my position and received over $10. Pretty stout for a stock that has already made a nice move recently and was over 10 points out of the money. If the stock closes under $175 I keep the call premium and the stock. If it keeps rocking and I get called away I'll still get $185 for my position - $175 + $10. I frankly have a hard time visualizing the stock getting much above $185 in the next six weeks. The only real downside is if the stock gets trashed. MIKE