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


To: FaultLine who wrote (4167)3/4/2004 1:00:39 PM
From: LemurHouse  Read Replies (3) | Respond to of 5205
 
Getting back to your question about whether people are selling CC's, I'm actually very frustrated at what little opportunity there is to do this right now. At least for the small number of stocks that I own (or rather, a relatively small number of companies) the premiums are so low that the risk/reward is IMO entirely negative. I certainly wish it were otherwise, as I miss the income that I was getting from writing CC's. I'm not sure whether to interpret these low premiums as the market discounting future appreciation in the underlying(s), or a general complacency and correspondingly low volatility.

Are others experiencing the same thing?

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