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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?


To: kcmike who wrote (39414)2/16/2000 8:10:00 PM
From: Mang Cheng  Respond to of 45548
 
Mike, I thought about which to buy too - 2001 $45 or $70 leaps. 2001 $70 leaps are selling at $21 3/4 today so the premium is a hefty $16.50. 2001 $45 are selling at 35 3/4 today -that means the premium is only $5 3/4. That's why I preferred to buy the $45s. Once an option is deep in the money, the premium really shrinks. Also deep in the money call is just like holding the stock. For each dollar rise in coms the calls rise almost one dollar.

Mang