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

To: freeus who wrote (55286)	12/20/1999 9:16:00 PM
From: Poet	Respond to of 152472

freeus, You're going to be invaluable on the options thread, I can see that. We've gotten many many PM's from people who are new to options and who want to learn. It seems to me that options are like cooking: You can learn from a book, but you learn so much more from being mentored by a better cook. I'm hoping you'll be there to help us walk the first-timers through their initial options trades.

To: freeus who wrote (55286)	12/20/1999 10:10:00 PM
From: Jeffry K. Smith	Respond to of 152472

Freeus - edamo, Voltaire, PAL, and many others have helped me go from raw beginner to decently competant - 'raw beginner' is a good term! You make many good points, and I either agree, or have been through all of them. I too think paper trading takes more discipline than I have, and I now feel more comfortable in the thought that the many "slappings" I have been through have taught me something. Many, many times I have been too greedy of a trader and rather than using self control and accepting a good sized gain I have held out for more. As for finding the right stock, I hope QCOM continues to be the one I can trust for a January play... Wishing you the best of good buys, ;-) Jeff Smith

To: freeus who wrote (55286)	12/20/1999 10:21:00 PM
From: Farfel	Respond to of 152472

Freeus, "Leaps" = "long term options" and can serve as a surrogate for the stocks. They call it the "poor man's stock market"------with the prices of some stocks rising through the roof (like Q) Leaps become a realistic alternative to plunking down $46,600 for 100 shares of stock. I like to think of it as "renting" a stock rather than buying it. The time parameter is long enough Jan 19,2001------that gives you a full 13 months to let Q run its course. Meanwhile it only costs you about $13000 (instead of $46,600 for 100 shares) to get the leverage you need to enjoy playing Qualcomm and not really being under a time constraint. Most unsuccessful options players buy "too close in" time-wise, and even if they pick the right issue, they never know what Market conditions can sprout up; the Leap gives you enough time to wait out any market turns and limits your downside risk to $13,000. Think; capital has value, and stock investments should produce at least a 20% return per year; if your Leap on Q doesn't pan out, you only lost what your return should have been had you put up $46,600----but if you hold the stock, and it doesn't go up, but even tumbles----you lose not only the "return money" but also the principal---to wit: a portion of the $46,600. In Leaps, that principal is never put at risk because you never have to put it up----think about it; in a sense, you are virtually playing nearly for free with Leaps. Farf

To: freeus who wrote (55286)	12/20/1999 10:27:00 PM
From: Farfel	Read Replies (2) \| Respond to of 152472

Freeus -- you're right, nothing can replace experience; I have made over 750 options trades YTD and can truly say---there is nothing like experience firsthand of losing or making money-------it is like receiving a an accelerated college education and truly gives you a "feel" in your guts for trading, and timing trades------for those who fear risk, buying and holding Leaps are a good strategy but only on the best stocks----and then, one should check into the "stock action" during the "non-tech" summer months before investing in Leaps----otherwise, April calls will do just fine----ending with the "tech season". Farf