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 Covered Calls for Dummies Thread -- Ignore unavailable to you. Want to Upgrade?

To: PoetTrader who wrote (1125)	6/20/2001 4:50:49 PM
From: FaultLine	Read Replies (2) \| Respond to of 5205

Hello Poet Trader, The flame attracts me<g>. I took a look at your CIEN holdings and got this: If you close out the existing calls, taking the $2, and then consider the $41 basis to drop to $39 then your overall average basis for the 800 shares is about $45.50. I see that CIEN has been in a tailspin for the last two weeks down to 39+ from over $60. I think about the only thing I would consider would be something in the range of the two JUL calls: JUL 45 EUQGI 2.15 last, up 0.20, 1.90 bid, 2.10 ask, 1438 vol, 5426 open interest JUL 50 EUQGJ 1.05, up 0.05, 1.00 bid, 1.10 ask, 664 vol, 5145 open interest or the AUG 45, 50, 55 strikes. All the premiums seem skimpy but I suppose they are better than nothing. Hopefully, CIEN might a move to the upside over the next few days (dead cat bounce?) so these premiums might improve -- you may want to wait a bit because things can't get much worse...right? :o) Good luck and keep us posted on your decision, OK? --dfl