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

To: edamo who wrote (2757)	2/11/2000 8:55:00 AM
From: Jill	Respond to of 8096

To all: I should note that when I happened to stumble onto SI a year ago, ed's philosophy of cash in, be the house, was the first I ran across and took to heart and I think it's an excellent one. It makes a whole lot of sense. Sell insurance, and use that money to buy stock. With covered calls you are also selling insurance. Hey, insurance companies make a lot of $! I don't analyze the moves by percentage gains ahead of time, but I do sell puts every month, and am long stock, and buy calls as well. Often I buy those puts back before expiration, especially when they go below $1, so that I can free up the margin capacity to sell other puts.

To: edamo who wrote (2757)	2/11/2000 9:15:00 AM
From: DM	Read Replies (2) \| Respond to of 8096

Edamo the sell side on balance is the most profitable side I have been following the thread for a couple of months, Poet is a cyberbuddy of mine, I mostly lurk, kind of shy. Anyway I totally agree with your above statement. I have been trading option for about 4 years now,and like most started out on the buy side and did fairly well. But then discover the sell side, and that has helped me greatly increase my portfolio. I think it is something everyone should at least look into trying to learn. I started out slowly selling a few puts, on good quality companies, haveing the stock put to me (sometimes) then I would sell covered calls until called out. At first I was brining in around $3000-$5000 per month, as my account grew, I started increasing what I was doing, and I am now about to have my first $20,000 month. Oh and I did this not with the high flyer internet companies, (until this month) but more stable companies. Great way to increas a portfolio and have a nice monthly income stream. DM

To: edamo who wrote (2757)	2/11/2000 9:23:00 AM
From: Poet	Read Replies (1) \| Respond to of 8096

Beautiful explanation, Ed. Very nicely "put". Thanks.