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

To: Dominick who wrote (4201)	4/15/2004 7:35:12 PM
From: Uncle Frank	Respond to of 5205

> I'm going to take a WAG and say most likely you timed your purchase after your analysis. You'd be wrong. The purchase was made at the time I withdrew money from my IRA, and the source of that money was QCOM stock I've held since 1999, with a cost basis of 17.5. In essence, I was just shifting my original position from sheltered to unsheltered status. Actually, our lack of accord is based on presumptions about holding periods, Dominick. An investor, a swing trader, and a day trader can, and usually do, disagree vehemently about a play, and all of them may be right simply because their conclusions are based on radically differing times scales. And time is always the most important factor in stock trading. Just to clarify, I buy companies that I think have long term competitive advantages, and contemplate a holding period of 2 to 5 years. I write covered calls as swing plays, and plan them to close in 1 to 30 days. uf