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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?


To: Bill Jackson who wrote (83443)12/17/1999 2:23:00 PM
From: Burt Masnick  Read Replies (1) | Respond to of 1572921
 
Bill, you seriously do not understand option selling.



To: Bill Jackson who wrote (83443)12/17/1999 2:26:00 PM
From: kash johal  Read Replies (1) | Respond to of 1572921
 
Bill,

Re:"Elmers strategy"

Yes it is very good.

And if he gets assigned he can sell covered calls as well for additional protection and income.

Where his strategy loses is not so good if AMD shoots up or down dramatically.

One can argue a $50 stock price by Jan 21 in which case he will have his $8,000, but will have lost on all the upside of over $100,000.

BTW, I sincerely do NOT wish to see the stock at $10 in Jan.

I'll have a heart attack with what I have riding on this baby.

regards,

Kash



To: Bill Jackson who wrote (83443)12/17/1999 2:58:00 PM
From: L. Adam Latham  Read Replies (2) | Respond to of 1572921
 
Bill:

Re: Options

amazon.com

Buy this book, read it, write a few "practice" puts, and maybe you'll agree this is a good way to generate cash flow with limited risk (as opposed to uncovered call writing, which has unlimited risk).

Adam