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.

Strategies & Market Trends : Gersh's Option trades -- Ignore unavailable to you. Want to Upgrade?

To: kaka who wrote (604)	10/18/2005 1:53:41 PM
From: Joe Waynick	Respond to of 652

McMillan calls the hedge you describe as a "bear put spread" since you're protecting your downside. I get it now. Your caution is understandable and prudent when speculating in volatile stocks. The strategy I employ is designed as a safer alternative to outright stock purchase of companies I would buy anyway. The restrictive screen I use gives me sufficient downside protection. Thank you for explaining your terminology. I've been at this since 1993 and I always learn new things. Joe