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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Sam Citron who wrote (43201)	3/6/2001 12:25:33 PM
From: Ian@SI	Read Replies (1) \| Respond to of 70976

Sam< Buy 300 AMAT @ 50. Sell 300 AMAT @ 150 anytime prior to 3rd Friday of Jan, 03. Gain 30,000 less commission and taxes, if any. ++++++++ Sell 3 AMAT Jan, 03, 40 Leaps; collect $2700 If assigned, you're a winner. If not assigned, you out by $27,000 relative to just buying the shares today at today's price. +++++++++++++++++++++ All I'm trying to suggest is that if you use your cash or margin to support an option position, this becomes an "either / or" choice. You either have the option position OR you have the stock. Frequently having the stock is a better choice. If I feel like speculating with options, I tend to do it on a much shorter term basis than LEAPs imply. Key distinction IMO, is that one is an investment, the other is a gamble. Ian.