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Technology Stocks : Texas Instruments - Good buy now or should we wait? -- Ignore unavailable to you. Want to Upgrade?

To: Keith Fauci who wrote (4704)	10/25/1999 7:02:00 PM
From: Sundar Rajan	Read Replies (1) \| Respond to of 6180

I have been writing covered calls against stock and took the liberty of responding to this message. Hope you don't mind!. You sell calls in 100 share lots. For example if you hold 200 shares of TXN , you can sell 2 Nov 90 calls (TNZKR) at 1 1/4 (bid is at 1 1/4) and you will get 1 1/4 x200 = 250 minus commission. (I am hoping to get $2 or more before I will sell this call). You can go to www.cboe.com for call prices. If TXN closes atleast 1/4 point in the money on expiry day(ie > 90 1/4 by Nov 20), you will lose your stock.

To: Keith Fauci who wrote (4704)	10/26/1999 12:49:00 PM
From: Glen2	Respond to of 6180

Answers to Keith's questions: Q1: If I sell the November 90 calls and the stock gets called away from me at 90, Do I keep the money from selling the call and get the 90 per share price? A1: Yes to both questions. You probably won't be called until expiration Friday, 11/19. Q2: Can I sell calls in 800 hundred lots? A2: Yes, you'd want to sell 8 contracts, each contract controls 100 shares. Q3: This would allow me to buy the stock back right away if I wanted to correct? A3: Yes. If you go through this sequence, be sure that you're factoring in the commissions, because you have multiple transactions going on so far. Q4: Where can I find ticker symbols and information on current call prices? A4: All option ticker symbols, prices and answers to loads of questions can be found at: www.cboe.com Good trading, Glen