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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: Carmine Cammarosano who wrote (10742)	11/23/1997 5:28:00 PM
From: Glenn D. Rudolph	Respond to of 45548

I hear you...but again as you know, there are other options when you see the stock falling, including going naked on the calls, shorting the stock you have(short against the box)or closing your covered call position so you can exit the underlying stock...and you are right, this all requires paying careful attention... The above also applies to writing a naked put. The covered call is an incorrect position. It ties up more equity and has the same risk versus reward. Is there something wrong with agreeing that writing a covered call is economically incorrect since it is a synthetic naked put? Carmine, I am just trying to tell you that. I am not telling you other strategies nor am I working on "damage control". Glenn PS Good luck with your covered call:-)