Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Poet who wrote (9282)	1/24/2001 10:08:08 AM
From: JungleCat	Read Replies (1) \| Respond to of 10876

Toscano, Poet.....thanks for the very helpful insight.

To: Poet who wrote (9282)	1/24/2001 7:10:01 PM
From: bigja	Read Replies (1) \| Respond to of 10876

Poet, Can you help clarify a rumor I hear occasionally? Are the premiums received for writing covered call or selling naked puts taxable? I know they are supposedly not reported to the IRS by your broker but I have always used treated profits/losses as ordinary income/losses. Thanks

To: Poet who wrote (9282)	1/25/2001 12:49:09 AM
From: johnsto1	Read Replies (1) \| Respond to of 10876

Got a quick question that may be of interest to others also. Monday I sold HGSI calls I had picked up Friday and waited until Nasdaq low to by 100 EMC feb 95's for avg of .625 when EMC was trading at $74. (I had planed the trade to sell into a EMC earnings run to say 80 on Tuesday) So Tuesday EMC goes to high of about 79-80(I should be able to turn over my 100 contracts for a $1 profit and book 10k,right?)wrong-the calls roll negative to .375 Tuesday and today while EMC is moving up strong at 79-80.(I dumped them today for small loss when EMC was $82 I got .5625) I had tracked these contracts for a few days so I knew if I got 1-4 pts off EMC underlying I would do very well. Question: being 4 -5 weeks away from expiration and it being a Tuesday so there's no weekend delta reason,can you think of a reasonable explanation for this. (EMC options trades on all the exchanges and they all followed the same patern to a T) Without sounding like a complainer(which I'm sure it does)it almost feels like there is legitimate compliance issue with the integrity of the market,but I know that's a reach. thanks