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


To: Elmer who wrote (83515)12/17/1999 11:33:00 PM
From: niceguy767  Read Replies (2) | Respond to of 1572711
 
Hi Fudd:

writing puts is a strategy that does not limit risk in the event of a significant downward move. Is that a prudent or sophisticated strategy for one who pretends to be significantlky bearish....Only if the downside move is insignificant! Hey Fudd if I were bearish on AMD, given that it was $17 only 2 months ago, I really don't think a sophisticated strategy for me would exposing myself to the vulnerability associated wit a retreat to $17 that writing puts exposes me to...Just not prudent imho if $17 is a possibility. Writing calls would be though if I thought $30 was the upside and $17 the downside, i.e a bearish outlook for the stock!

Hey Fudd, I'll be the first to congratulate anyone who is able to make a buck in the marketplace, regardless of the strategy. But you are misleading people totalk bearishness and then leave yourself open to unlimited downside risk by writing puts...Comprenez, yet?