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To: tracyx who wrote (20822)	5/30/2000 3:02:00 PM
From: Uncle Frank	Read Replies (1) \| Respond to of 35685

If you want the best overall return on covered calls, sell them one month out every month. LEAPS are a bargain because time premium is a function of the square root of the time to expiry. That means the further out the expiry date, the less revenue you get per month. You don't want to be selling them if your goal is to maximize your revenue stream. imho, uf

To: tracyx who wrote (20822)	5/30/2000 3:02:00 PM
From: Voltaire	Respond to of 35685

Hi Trace, in so far as your liquidation value, you do have the money to buy them back because your calls are always debited against your long position and therefore it is a bookkeeping exercise. Now you will have to pay for todays gains but that is about it. Yes, you can do that and you are not missing anything. V

To: tracyx who wrote (20822)	5/30/2000 4:50:00 PM
From: im a survivor	Respond to of 35685

<<back but what if i bought 'em back and then sold the jan 03's for $27. Is this a good play or am I missing something important here? >> I think that depends on your strategy and time frame. Personally, I am buying the 2003 60 leaps, because when I think of being able to buy qcom in 2 years and 8 months for $15 - $20 less then todays price, I get goose bumps all over. Are you gonna write the 03's with the intention of just gaining some short term leverage, or are you prepared to write the calls, watch them skyrocket and then buy them back much higher or let the stock get called? I was down on qcom myself, but then I realized I wasnt down on the company, I was down on the stock price. i figured I love the company...I think they will be huge with HDR and all the royalty cash they will get and etc, etc...wireless just getting started and bla, bla, bla....So I held my stock and bought 2003 leaps today. Your situation depends on what you wish your end result to be. I hesitate to write CC's on anything so oversold and qcom is very oversold and way too low for me personally to consider covering. Those 2003's you want to write could be a whole lot higher if and when qcom get's back to the $120 - $150 range, and what happens if and when they really bust loose. Just my random thoughts keith