Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Selling Puts: Have Cash Will Travel -- Ignore unavailable to you. Want to Upgrade?

To: Tom K. who wrote (782)	1/4/2000 3:43:00 AM
From: David Lind	Read Replies (2) \| Respond to of 1235

Tom, what are you using for TA, if I may ask? What are you looking for on your charts? My strategy in position trading stocks has been to run scans for long-term uptrending stocks that have recently taken a hit, and are starting a move back. This has served me well, and I hope will continue to do so with writing puts, but I'd like to know how others are making their selects. Further, what are you looking for when you select a strike price? Does Delta and volatility interest you,or are you basically looking at the the underlying and premium yield? I have the ability to look deeply into premium values, etc., but it seems at this point in my young put writing career to be more important to focus on the underlying. Any thoughts on the subject? From anyone? - David

To: Tom K. who wrote (782)	1/4/2000 3:59:00 PM
From: David Lind	Read Replies (2) \| Respond to of 1235

Tom, I think the worm has turned today. How are you holding up? Under the heading of "Never try to time the market": I was holding a lot of cash waiting for a correction in late December. I made out like a bandit in November, so I figured I was extremely smart and I'd put some cash in the bank and wait for the "inevitable" correction in late December to buy back in. Well, I waited...and waited...and....waited. On Monday when buyers kept coming into the Nasdaq I figured I couldn't miss out on any more of the runup. So yesterday afternoon I pour gobs of cash back into funds to generate margin, along with some T-Bills. Well surprise. Timing couldn't have been worse. Although, it's kind of like hitting your head against a wall. The pain of waiting for a darned pullback may finally be over.