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Strategies & Market Trends : The Covered Calls for Dummies Thread -- Ignore unavailable to you. Want to Upgrade?

To: JGoren who wrote (1495)	7/15/2001 9:57:31 PM
From: alanrs	Respond to of 5205

you must think qcom has reached a temporary peak and is headed down. i don't want my shares called away. It's certainly possible, given the recent run-up. It's also possible it's got a lot more to go. While it was trending I was willing to sell slightly OTM calls with less time. Now that it has moved, the much higher strike is again attractive to me because it affords a decent premium in absolute dollars, and is written against my most expensive shares. If they were called I would be ecstatic at the appreciation of the remaining much cheaper shares I hold, and make a respectable profit on those 200. Qcom is my second largest holding, CREE the largest. As such, I tend to look at these two first. On Fri. AM I put limit orders in on both, well above the bid/ask. QCOM executed. I really didn't expect that. If the general market continues up, some of the other things I'm willing to write against will become attractive, although I don't expect to write more QCOM unless/until I buy these two back. Anyway, there has been about a six hour gap between starting this post and ending it (with a trip to the beach, a bottle of wine and a nice backyard cookout with friends in between) so I am no longer sure I'm making sense. Regards ARS