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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Elroy who wrote (64360)	8/6/2003 11:20:55 AM
From: Ira Player	Read Replies (1) \| Respond to of 77397

Elroy, Like Woody Hayes, Jerome is playing the "3 yards and a cloud of dust" game. It's a very effective strategy and can provide excellent returns in most environments. As you point out, the one environment that it under performs "buy and hold" in is a strong rally. It never ceases to amaze me that writers in the financial markets can be so inconsistent and not see it in themselves. 1. They tell you that expecting more than a 10% return on the stock market is unsustainable AND 2. That selling calls against your stock (often for a 10% premium for a MONTH) is bad because it "limits your upside". Inconsistent. My only issue with Jerome is he tends to go too far out and further out of the money than I usually do...I'd rather get more time premium more often and use recovery techniques if the stock moves more than anticipated. (But I may be an action junky!) Ira