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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: Dan Duchardt who wrote (13728)	6/24/2001 9:21:47 PM
From: Sam2482	Respond to of 14162

Dan: Thank you for comments. Your perspective has merit and is definitely something that needs to be considered.I was thinking that most of the "air" has been let out of NEWP and the the most probable scenerio would be for NEWP to end July between 20 to 28. But I'm no expert on NEWP. Technically NEWP is at the lower BB, has a relatively low RSI and from what I can see is selling at the lower end of its historic P/E ratio. They have a solid balance sheet with little debt and a price to sales ratio of 2.62. But the stock is clearly volitale and I agree that any bad news could send the stock to new lows. I'll watch the action over the next couple days and see how the option prices move. I may hedge it somewhat i.e. buy 1k, sell 10 calls and buy 5 puts. too many options to think about :) Vicki