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Non-Tech : QQQ - Nasdaq 100 Trust -- Ignore unavailable to you. Want to Upgrade?

To: Don Green who wrote (68)	7/31/1999 10:07:00 PM
From: Werner Sharp	Read Replies (1) \| Respond to of 840

Anyone have any option strategies their using with QQQ? I have two I've been thinking about. (1). Selling covered calls that are two months out at 5% premium to the current price (Sept 118). They're getting $3.50 right now. If you can do that 6 times a year, you'll be getting $21. If you get called away, simply by more QQQ and start the process over. Seems like you could do pretty well this way. (2). Sell long-term covered calls at the highest strike price. Jan 2001 130's are $16. So if you get called away, you're making $33 ($130 - $113 + $16) profit on a $97 dollar investment ($113 - $16). You're obviously losing the upside potential with either strategy, but both seem to have pretty good return potential. The first one looks like it could make more (depending on volatility, etc). The second one is more dependable. And comments/suggestions/better ideas? Thanks. Werner Sharp