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.

Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Paul Ma who wrote (99915)	3/25/2000 6:17:00 PM
From: steve harris	Respond to of 1575462

paul, cboe.com Good explanation on options and the why and how of trading them. The April 60s people discuss here are April 60 Calls. Dangerous stuff. :o) steve

To: Paul Ma who wrote (99915)	3/25/2000 6:20:00 PM
From: crazyoldman	Respond to of 1575462

Hello paul ma, Welcome to the thread. Best of luck on your AMD position. re: All I can do is ask what calls are. I read a lot about April 60s, and things I want to know what it means. I can't help you with calls and puts as such as my position is long. There are some fine folks on this thread that can help you with your questions though. Kindest regards, CrazyMan P.S. Hello to Mom!

To: Paul Ma who wrote (99915)	3/25/2000 6:56:00 PM
From: Scumbria	Respond to of 1575462

Paul, I read a lot about April 60s, and things I want to know what it means. It is a legal form of Internet gambling. The only difference is that we think we have better odds. That is strictly an illusion however. ;^) Scumbria

To: Paul Ma who wrote (99915)	3/25/2000 7:36:00 PM
From: that_crazy_doug	Respond to of 1575462

<< All I can do is ask what calls are. I read a lot about April 60s, and things I want to know what it means. Thanks >> Calls are options on the stock. If you buy a call, then you are buying the option to purchase the stock at the specified price (strike price). Calls expire on the third friday of the month, so an april 60 call would be the option to buy amd at 60 per share anytime before the third friday of april. You have to pay a premium for options. Right now I think an april 60 is about 4 dollars. So if you pay 4 bucks, you can buy amd at 60 in april. The thought is that if it goes up to 70. You can sell the call for 10. The problem is if the stock doesn't go up to 60 it expires worthless. It's a very dangerous way to invest, but it's also one of the most profitable if done well. (you usually need special permission to trade options (calls and puts) from your broker, and to get permission they make you fill out some form saying you can afford to lose the money, and you are an experienced investor) In general, I'd avoid options or at least shadow trade them for awhile, because you can lose money so fast with them.