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To: walkman_99 who wrote (30599)	8/25/2000 8:15:56 PM
From: Clappy	Read Replies (2) \| Respond to of 35685

Hi Walkman Dude, Your RMBS post caught my eye just as I was about to post that I just added to my position today. I started with a small buy a few weeks ago at the $75 range. Then I was convinced that it was going to sink way down into the low 60's. It got close but I wasn't any where near my PC when it did and I missed it. Eversince, I've been cursing myself for not buying on the ride up. Well today, I finally bought some more. I had been working my arse off doing some daytrading trying to build up to point where I would have bought an equal amount of shares of RMBS in the 60's. Well, now I'm there, finally. Hopefully it doesn't tank. One thing I've noticed is that it appears that the houses are beginning to let some stocks travel upwards now. Earlier they would try to squash them before the got too high. Now they are probably in some of the good ones and allowing them to run. I think JNPR and EXTR are good examples. SCMR is another. The mutual funds and houses must be loaded up on fiber optic plays because they are allowing them to run like crazy now. They must also not know what to do with RMBS. They are caught up in that uneasiness period. Everything is going so smooth that people tend to doubt whether or not RMBS will break on through. Everyday the evidence gets presented, the picture gets clearer. Although the charts are telling me not to buy, I'm adding now. Next week may let us dip as we are over due. I'll be ready to average in the rest of my holdings. I'm forcing myself to look to January. I want to be heavy in RMBS, CRA, EXTR, and AVNX as the markets begin to really take off. I wish I had enough money to buy BRCD, JNPR, and BRCM to add to my portfolio. -Clappy P.S. If I had to make a guess, I think AVNX is the company everyone will be talking about in 6 months... ...and in one year from now, the Biotechs will be more popular than fiber optics... Eventually all these Baby Boomer investors will be seeing the importance of these biotech stocks... All of a sudden bands of Fiber will seem less important than bands of proteins, chromosomes, and genomes.

To: walkman_99 who wrote (30599)	8/27/2000 12:28:53 AM
From: adairm	Read Replies (2) \| Respond to of 35685

I think you will do well with the RMBS short puts. I would join you, except I'm now long RMBS in all my accounts! I don't short puts on a stock that I also own. Double risk! That is, to be able to sell naked puts, you have to have margin capacity (ie. collateral). If the collateral is the same stock I've sold puts on, if it goes down, my margin requirement goes up while my collateral goes down. Not pretty! That's why I'm short the NTAP Sept 100's. I wish I owned NTAP. I've sold puts on it before and they've expired worthless. Last month, I had to roll the 100's over into September. NTAP is now selling over the strike price, and will probably expire worthless once again. I like getting paid for not buying the stock! (Kinda like farmers getting paid not to grow tomatoes!) By the way, here's a somewhat humourous story about selling puts, and brokers and whatnot: My sister's first husband is now a "Professional Money Manager" for one of the local banks. Which means he sells the banks lousy mutual funds to the widows and orphans. Anyway, he asked what I was up to, and I told him I was holding my tech stocks, and selling puts. He said, "Naked Puts?!?!" I said, "Well, to be covered, I've have to be short the stock, and I don't want to do that!" He said, "My God, man, if you're naked puts, you're just gambling! They wouldn't let us do that when I was with Dean Whitter!" I asked, "What the difference between writing puts and being long the stock?" He said, "It's way, way riskier!" I asked, "Why?" He replied, "'Cause you're naked!" Shows you what they teach the "Money Management Professionals", huh. The differences between being long the stock and having written puts is I got paid a premium for writing the option, but I don't get to collect any dividends if the stock pays them. And my obligation to buy is for a limited time. Good luck with your puts. I hope they expire on you! Adairm