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Strategies & Market Trends : Option Spreads, Credit my Debit -- Ignore unavailable to you. Want to Upgrade?

To: dealmakr who wrote (1502)	6/18/2000 10:12:00 PM
From: KFE	Read Replies (2) \| Respond to of 2317

David, I scaled some of my CEGE long position this week. Still have several option strategies in play. High IV and book value makes for a very attractive % trade with limited risk. Only June options I had was a HAL call credit spread which expired without having to be covered. Don't have a good feel for market right now so I am looking to do some IV trading. I see that GENE which you mentioned has moved up nicely and has even higher IV than CEGE. Someone posted a link to a post from you that said options on QQQ and other unit investment trusts are considered 1256 contracts. Do you have a section of the IRS code which confirms this. I posted on RB that the issue doesn't seem clear and AA stated that it wasn't mentioned in the code because it should be obvious that they are not 1256 contracts. It looks like Ernst and Young thinks the same as I do theocc.com Regards, Ken