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

To: Alan C. Zezula who wrote (1379)	5/16/2000 7:35:00 AM
From: country boy	Read Replies (3) \| Respond to of 4564

Hey Al: I'm buying mostly June contracts and will switch to July's next week; I usually stay only one month out. Sometimes I'll buy close options like May's today, on a speculative buy if I can get them for < 1/4---usually $10 out of the money or more. In a big rally, I've had such option go to 1-$3 which is a huge return. Of course this is just pure gambling and many expire worthless---that's why I'll only pay 1/4---often they'll go to 1/2 and that's still 100% return. I usually buy 2 or 3 contracts on stocks like YHOO; 4-6 on LSI, and 5-10 on IDTI, ISSI. Depends on the premium. I rely on trading smaller amounts as frequently as possible, rather than a few huge gains. And I don't keep too many $ in any one position in case I'm wrong---rather be wrong small and right small than wrong big---of course buying calls has unlimited upside potential, so small can turn to big. In my IRA, I trade just stock. In another account, I trade 6-12 month Leaps in small quantities. I'm holding my positions and waiting on the Fed like everyone else. Was glad to see LSI back over 50, but it still has a long way to go. Check out the "Idea of the Day" and "Market Direction" threads in this same category---some savy opinions there. cb