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Strategies & Market Trends : The Options Box -- Ignore unavailable to you. Want to Upgrade?

To: Poet who wrote (946)	5/30/2000 5:34:00 PM
From: Mark Z	Read Replies (1) \| Respond to of 10876

UAL slid 40 to 60 in less than a quarter. I got out in the mid-70's and was totally amazed. I wasn't dumb enough to say "gee, this shorting is easy I should do it all the time" but it did erase the fears I had. Dumb luck because I kept a fairly tight stop in place but it just kept tanking. It did the same thing this year in Q1 from 80 to 50 but, alas, I didn't participate. And do you have any thoughts on LUV if the airlines ever turn around? Heck, I have an opinion on everything <g>. That's a big if. So much of the airlines' price movement is dictated by oil prices that it almost doesn't matter how they distinguish themselves. But of the significant carriers, I think they have the best business model & have more room to expand than say AMR or UAL. If you want to speculate, they are rumored to be looking at international flights (pure unconfirmed heresay) although I don't think I'd want to fly to Europe on one of their cattle carriers <g>. Briefing.com has it in their core "Blue Chip Growth" portfolio. Personally I'm partial to the cargo carriers (FDX, UPS, CGO) as I think that segment is growing at a more rapid clip than passenger trade. They also tend to be better trading stocks <g>.

To: Poet who wrote (946)	5/30/2000 6:35:00 PM
From: waverider	Read Replies (2) \| Respond to of 10876

OPTIONS:TAXES/EXERCISE Update: No I am not talking about jumping jacks, although we all should be a little slap happy today... Anyway, about those option questions I had. I have contacted a lot of people and dug as deep as I can and here is the scoop (talked to my accountant, other traders, IRS, read pubs, etc.). NO WHERE is there a definitive explanation of the wash rule in terms of options. The IRS doesn't even have a clue. So the general perspective is this: When you sell an option on a stock for a loss, then rebuy within the 30 wash period an option on the same stock BUT at a different strike...then it is a different security and does not fall under the wash rules. A stronger case could be made if you buy an other option with a different expiration date as well. If the IRS wants to fight you on it, then that's what they will have to do because there are no clear rules on the issue. Thanks to all of you who sent me notes on the matter. About the prob I had with Fidelity regarding their refusal to exercise my $10 QCOM LEAPs. Well, I am going to have to wait because I don't have the money now to exercise...took advantage of the recent Q slump and used it all up darn it. But when December comes, I plan on exercising, so stay tuned. Rick