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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?


To: stockycd who wrote (13555)1/30/2001 11:59:35 PM
From: BDR  Read Replies (1) | Respond to of 14162
 
<<Have you noticed that the front month list grows very short when there is an impending selloff...>>

I have noticed the list shrinks as expiration approaches as would be expected. With only 17 days to expiration is the list shorter than average? Has somebody been tracking this?

Question for Herm - how are the stocks on the list selected? I am referring to:
coveredcalls.com
There are a couple of stocks that I have been writing covered calls on successfully (NTAP and AVNX) that have substantial premiums (10+% for the first OTM call in March and for several months in a row now for as long as I have been looking at the calls) and they don't show up on either the Best Calls list or the Tech list. I wondered if there was a reason.



To: stockycd who wrote (13555)2/1/2001 12:54:17 PM
From: Herm  Respond to of 14162
 
Hey Chris,

That's an interesting possibility. For the record (based on
Dale's question and yours) the www.coveredcalls.com and the
data they put out is not mine. So, I would not be the
authority on that. But, I will past those questions onto
Shane the owner who I collaborate with on several related
investment activities.

I will say this about my LEAPs spread reports that have
been online for a few months now. I noticed that when a
stock shows up at the same time in both the BEAR PUTs LEAPs
Spreads and BULL CALLs LEAPs Spreads that the stock does go
into a major reversal depending on the chart profile. In
other words, MO for example appeared last night!

MO GOOD PUT PROSPECT?

The RSI and OBV are in the peak upper range and showing
signs of an impeding breakdown. So, I would say the profit
taking may set in. We rode MO up for months now when it
previously appeared in both the PUTs and CALLs LEAPs spreads
reports. That was one nice heck of a ride up from $22 to $42
in a few months time.

http://www.siliconinvestor.com/research/chart.gsp?s=MO&period=180&time=week&chart=candle&scale=log&i0=2&i1=7&i2=3&i3=1&chart1=bb&ma1=5&ma2=20&bbprd=10&bbpct=2&lr=25&rsi=14&mt=22&sk=12&sd=5&macd1=12&macd2=26&dmi=10&obv=5&cci=60&wpr=10&rbv=1&macds=

Here is a potential Bear PUTs Spread for MO. I would leg
into the spread by first buying the LEAPs Put and wait for
a pull-back.

209.15.73.188

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