Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Full Disclosure Trading -- Ignore unavailable to you. Want to Upgrade?

To: Carl Worth who wrote (9359)	10/8/2004 12:19:23 PM
From: Sam Citron	Read Replies (1) \| Respond to of 13403

OT Carl, In a word, Xyotax. cticseattle.com Developing the pipeline will be expensive but worth it, IMO. 2005 will be an eventful year and implied volatility is extremely high, meaning that puts and calls are expensive. This presents opportunities for a hedged volatility seller. With a long position in the stock, a short position in out-of-the-money covered calls and a naked short position in out-of the money puts, I don't think my risk profile is excessive. In fact, even if the stock goes to 5 in March, I will have a decent return on my position. So my attraction is simply that I think the high option premium compensates me for the risk. It's a relatively small position in any case. Know of some better opportunities? Sam