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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?

To: Herm who wrote (6076)	12/10/1997 5:33:00 PM
From: drsvelte	Read Replies (1) \| Respond to of 14162

Herm & Thread: Need some help here. As a recent newbie getting into CC writing, I spent the last week looking for good underlyings. Guess what my search turned up? Bought into VVUS on Monday!! Ouch! It seems like all the bad news is out (unless this is really a criminal managment team), and that the only way is up, be it in fits and spurts. What's the strategy the pros on this board recommend?? drsvelte

To: Herm who wrote (6076)	12/10/1997 8:25:00 PM
From: rkf	Read Replies (1) \| Respond to of 14162

Herm, thanks for the insight and input. I jumped with shares at $23. Any thoughts here? Likewise I'm in for the long haul and thinking of averaging down tomorrow with another 100 shares at $13, and then starting to look at riding the cc back up. Kent

To: Herm who wrote (6076)	12/11/1997 12:17:00 PM
From: mc	Read Replies (1) \| Respond to of 14162

Herm, I agree that there may be some upside potential in earnings come January after all the downgrades are in. Especially if they are buying back shares. I'm still in, but, walking the razor's edge as far as a margin call. Any more down move in VVUS and I'll be ponying up some more cash also (which I haven't kept on the sideline). Hey Sailor - was it you that was into IOM with me? I don't remember now. Either way, whoever it was, it's coming back to us. Hopefully a few more days of sell-off and I'll have a chance to buy those calls back at a nice profit. Also, now that my equity has tanked and is less than 50% in my margin account, will I have to put up cash to get it back to 50% + so that I can buy back those IOM calls? I haven't been in this position before (and hope not to be again). Thanks and good luck to everyone, Gary