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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: DlphcOracl who wrote (23616)	4/8/2000 6:35:00 PM
From: Rande Is	Read Replies (2) \| Respond to of 57584

Delphic, Bob Martin has been researching covered calls specifically and will be reporting to the thread of his findings when he gets some time. . . Meanwhile, I'll have my top 20 REIT picks hopefully by Monday morning. . . Perhaps you could share some of your foreign mutual funds with the thread. [Out of town for the weekend] Rande Is

To: DlphcOracl who wrote (23616)	4/8/2000 8:58:00 PM
From: bobkansas	Read Replies (1) \| Respond to of 57584

Hi DlphcOracl, If I were you, I would go ahead and post the questions in your post on the various option threads on SI and see if you get some responses that make sense. Selling 10 covered calls on your already purchased AMCC shares will NOT protect your PAPER profits. Because they are profits on paper, the amount of your profits will change as the market values AMCC up or down. Using puts might help but I am not qualified to even comment as to them. What selling [covered calls] the right of someone else to purchase your shares of AMCC at a later date within next 12 days to 3 months will do is allow you to collect up front a premium which indirectly will help you recover some of the time value of having your money tied up in AMCC (when it goes down in price as you expect it to due this summer). You thus do not sale the stock to incur taxable gains and yet get some return on the stock by selling covered calls against your shares. I have to eat late dinner right now but I will come back with another post later tonight as to AMCC to show you what I mean. Again, I have started writing covered calls for myself and my mom, but I am not smart enough as to the many other ways in which stock options puts and calls (including various combinations) might be of assistance to you. Best regards, BOB

To: DlphcOracl who wrote (23616)	4/9/2000 1:01:00 AM
From: carepedeum2000	Read Replies (1) \| Respond to of 57584

d/o if you thought it was going to decline that much, i think you should sell the stock and pay the tax (you will probably have some loosers to offset it) if you just want insurance, buy sept puts, only cost is the put itself, if you are right, put should offset loss on stock, if your wrong, and stock continues up, your put loss shleters part of your gains, but i have found it healthier emotionally to just sell a stock that i thought was going to go through a big decline good luck