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Politics : High Tolerance Plasticity -- Ignore unavailable to you. Want to Upgrade?

To: aerosappy who wrote (20093)	8/24/2003 5:26:39 PM
From: kodiak_bull	Respond to of 23153

Aero, I guess you're assuming that DB's LT kicks in by the 3rd week in January? If that's true, why not sell the Jan 2.5's and lock in more? Then if the bottom falls out of the market, but you still like the stock, you can buy back the options and book a short term gain in the premium paid and still have your position. I think the better view is to simply watch RFMD and get out of it if it violates its trendline. Pay taxes. Options create a lot more complication than most people like to deal with. Otoh, it just might work out? On covered calls I like to do what we did with GLBL years ago; that is, buy the stuff at $7, and when the stock hit 14, sell the 6 weeks-to-go 17.5s at $1 and get called away for a grand total of $18.5. Now that's a covered call play! Kb