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Strategies & Market Trends : P&S and STO Death Blow's -- Ignore unavailable to you. Want to Upgrade?

To: Mike M who wrote (22722)	1/7/2003 9:10:45 PM
From: mishedlo	Read Replies (1) \| Respond to of 30712

Covered calls is 100% identical to selling naked puts. If you think selling naked puts is easy money then more power to you. On average the put writer makes $ day in and day out. One big F up however can kill the put writer. Go sell zillion of puts in a plunging market and watch what happens. Sell zillions of calls in a rising market and the same thing happens. IF selling premium was a sure thing, I could just sit back all day and write naked puts all day. Free money. Since covered calls = naked puts, I can assure you it is no sure thing. In a sideways market, selling premium works. When the move happens, you better be on the right side of it or you are toast. M