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Strategies & Market Trends : Options -- Ignore unavailable to you. Want to Upgrade?

To: taxman who wrote (1222)	1/17/2000 5:43:00 PM
From: Jill	Read Replies (1) \| Respond to of 8096

taxman, he considers moderately otm calls a decent strategy. I doubt he would consider very OTM calls wise. He says, "You need not fear moderately OTM LEAPS...you can certainly take advantage of the extra leverage possible here, and without the usual risk attendnat on such a procedure." He says OTM shorter term calls often fail because there isn't enough time for the stock to rise sufficiently. But he warns to restrict the amount you buy--keep them to the 100 lot shares you'd have ben comfortable buying. I.E> if you're very bullish about XYZ and want to buy 500 shares buy 5 leaps otm calls.