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

To: SecularBull who wrote (2572)	2/9/2000 1:27:00 PM
From: edamo	Read Replies (2) \| Respond to of 8096

lof "cree puts" cree at the moment is not in the best position to sell puts against as it is oversold. even using your strategy of backing into the position, why not maintain discipline and capture an even larger premium as the underlying pulls back? selling a put is not a random act...oversold moments always better then overbought. your logic is elusive, if you believe and the intent is the stock will come down below the strike you sold, why not just wait for it to do so?????????

To: SecularBull who wrote (2572)	2/9/2000 1:39:00 PM
From: TRCM	Read Replies (1) \| Respond to of 8096

Let me just make this simple for you... If you are near term bearish, it would be in your best interests to BUY PUTS, or WRITE CALLS, as you will capitalize on the stock price's depreciation...You can then BUY THE STOCK, at your lower price....In this instance, you have gained the premium of the calls you wrote, or gained the price appreciation of the put...Now, with the stock at a lower price, liquidate your options, and initiate a long position....You have now realized a financial gain through your options play, which gives you a cushion on your LONG STOCK position... Is there anyone on this thread that doesn't understand this...Jill, I know you and Poet must see this as very straight forward....I think we need to put this to rest, and find something more significant to talk about...