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To: bowledover who wrote (24899)	7/10/2000 10:54:29 PM
From: Percival 917	Respond to of 35685

Hi bowledover, You are going to love my answer, and that is that I have to defer to RR as I am following his lead. Later, Joel

To: bowledover who wrote (24899)	7/11/2000 1:12:02 AM
From: RR	Read Replies (1) \| Respond to of 35685

Hi Bowledover: Let me take a crack at answering your question. I'll use my own rationale and can only speak for myself. Sometime back I started accumulating JDSU, XXZLR, Dec 90 calls. Couple of months ago or more. I looked at the 85 and 95 calls as well. I liked the XXZLR best. One of things I look at, and you may already know this from my posts, is what will the stock have to move percent wise for me to breakeven at expiration. That allows me to look realistically at what it has to do for me not to lose my capital (preserve capital rule 1), and what it could do given my thoughts on how the stock will advance. 1. Those XXZLR's for the longest time were priced such that all JDSU had to do was move 8.5 - 10.5% for me to breakeven at the times I was buying them. That was the best of any strike around it, 85 or 95. Of course this all will vary because of the different strike prices, but, generally, I felt the 90's looked best. 2. Another consideration is this, and this is just my style. I do not buy a bunch of different strike options. Some folks would buy the 80, 85, 90, and 95 calls for example. But, I will focus on one and when I do, I wear it to death. I'll trade it constantly. That fits my style. I learn it like the back of my hand and know what it will do relative to the underlying. I keep it simple. I mentioned on here sometime ago, and Invictus can tell you some wild tales about my trading style, that I will sometimes turn my entire options over in a single week, hundreds of them, take my profit, wait a day, then re-enter with the entire amount, profit and all. I compound it. Just dump it all back in. I hesitate to tell the Porch the degree to which I do this because it is risky as hell, and most would think I was nuts. Consequently, I think the better course for most is to find an entry, EXECUTE, then ride the appreciation up. So, with that style, I do best having a single call option versus several. 3. But, you have been studying and that's great. The 85's or 95's may actually be a better deal now than the 90's, but for the reason stated, that is why I stay with XXZLR. Try the math. Check out what it would take for the stock to move by Dec, for example, for you to breakeven, see if you can find one in Dec that fits better than the others around it. Understand that will change going deeper ITM. In fact, JC2020, Joe, had mentioned on here the other day that the 85's might be looking better. Think it was the 85's. Forget. Anyway, that is just some thoughts on what I do. Again, my style is high risk. I turnover my option positions often. I don't hold them, just churn them to death and laugh all the way to the bank. I have not owned a stock in years.... crazy, huh. But, works for me. Good luck. Still think JDSU did a super play today. Seems that a conservative play would to be to buy leaps. Look at YDIAN which I bought a lot of today. Sorry if I rambled. Been a long day. RR