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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: A.L. Reagan who wrote (48485)	11/8/1999 8:41:00 PM
From: LLCF	Read Replies (1) \| Respond to of 152472

Perhaps I can help illuminate your decision: <I bought an equal number of shares this a.m. at $290 (on margin), so I can deliver same at $260 next month if called (the $30 ps hickey being a lot more pleasant than $45-$48ps).> <But now it looks like I've doubled-up my risk (beta, etc.) on Q*. But is this really true? Not unless we go below $260. > By writing calls on you're position you turn your long stock position into a short put position. So if you have the Dec260 buywrite on AND own the stock, your position is that you own the stock and are short the 260 put. What you have elected to do in buying the stock vs covering the calls is sold [or stayed short] the Dec260put to try and recover some of your trading losses. Hope this helps. DAK

To: A.L. Reagan who wrote (48485)	11/9/1999 3:38:00 AM
From: jack bittner	Respond to of 152472

i suppose it's a type of solitaire you're playing, but it puzzles me. i don't see it as fun - but i guess you do. i don't understand protecting against a fall to 230-245. were you going to be forced to sell in that range or on that day? suppose it had dropped to that range, could you not have ignored it? if you know why you bought the stock, why would you then suddenly sell it because of a slight jiggle down? i'm not implying a scintilla of criticism. i think those of us who have the time and money to do this (one way or another) are having one helluva good time. you play it one way, i another. i am just wondering how you see it, since i know there are many others who like to sell calls etc. so i hope you will answer my questions. it could be a david/goliath thing, since the option pro's who determine the prices are teams of math wizards and experienced traders with massive computer programs - so one little guy beating those huge monsters could be a kick. just buying and holding, and picking up more on dips and keeping cash to be able to do so - could seem boring, i guess.