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To: articwarrior who wrote (11565)	9/19/1999 7:21:00 PM
From: Tom K.	Respond to of 14162

Buying a put is hoping for the share price to go down so this is a "short option" Artic, the terms "long" and "short" refer to the person's position with the option. When you buy (hold an option) you are "long" the position because you paid for the contract and you own it; when you sell or write an option, you sold the contract for the premium you received, and you are "short" the position. Selling a PUT means you are "short," buying a PUT means you are "long." Hope this helps. Tom Tom

To: articwarrior who wrote (11565)	9/19/1999 9:40:00 PM
From: OX	Respond to of 14162

<<<saves your tax dollars as well and if you sell a call and buy a put you have effectively...>>> I think I know what you meant by this, but unless you're a tax accountant giving advice, I would be careful here. There are tax implications when buying puts when long the underlying. (Heck, there are tax implications for everything :-) Being short the call and long the put is equivalent to being short the underlying... so if you are long the underlying when you do this, you have effectively locked in your gain, holding period, etc. I'm not a tax person, so I'll stop here. I just mentioned this because you mentioned saving taxes, which it may not in all cases.

To: articwarrior who wrote (11565)	9/20/1999 12:22:00 AM
From: Greg Higgins	Respond to of 14162

articwarrior writes: Buying a put is hoping for the share price to go down so this is a "short option". NO. NO. NO. NO. Being long or short a position has nothing to do with what you hope a stock does. Look at your monthly brokerage statement. Most brokers will classify your portfolio by long positions and short positions. If you buy (to open) a put it will be classified as a long position. Do you want the stock to go down? Perhaps. Does the person who is short the stock want it to go down? Absolutely. Are the two positions equivalent? Not in this lifetime.