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


To: H Peterson who wrote (3858)7/20/2002 1:38:51 PM
From: Dr. Id  Read Replies (1) | Respond to of 5205
 
You would think that if you locked in some good prices now, the recovery should happen by then.

It should...then again, we could be in a prolonged bear market and you'd lose all of your money. Those of us who bought 2002 and 2003 leaps thought that the "recovery should happen by then". When you own calls, time seems to go faster... therefore, to prolong your life (at least subjectively), sell calls rather than buy them! :)

DrId@lotsofleapslosses.pov



To: H Peterson who wrote (3858)7/20/2002 3:07:05 PM
From: Gottfried  Read Replies (1) | Respond to of 5205
 
H. Peterson, I bought CSCO and AMAT 2003 leaps well over a year ago and now they're a worry because of the slower than expected economic recovery. The time value I paid for is almost gone, so the stocks have to rise that much more to bring those leaps to breakeven.

Gottfried