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Technology Stocks : Digital Equipment Corp. (DEC) -- Ignore unavailable to you. Want to Upgrade?

To: hpeace who wrote (2957)	2/17/1998 12:36:00 AM
From: Dan Spangenberg	Read Replies (1) \| Respond to of 3276

OT What are your thoughts on that last proposed strategy? (buying Jan 2000 25's for 15 1/2 as opposed to full shares of CPQ on full margin at 17 1/2) Does the time premie seem a bit small on the leaps? Only 5 1/2! Don't they usually have alot more that far out? When does the serious decay begin? Are the 25's the best choice or would closer to the money be better, maybe ? I've never done leaps before so I don't know what strategy to use. I do have some money that I was going to use for cpq shares full margined for long term hold, but wonder if leaps are more advantageous right now. It is killing me not to have done SMOD bull spread. As I looked at the option chains, how about apr 45's at 11 1/8 and apr 35's at 4 for net of 7 1/8? How about those right now - tomorrow? Thanks for spending all that time today teaching us about the bull put spreads. It does take somewhat of a paradigm shift to see the beauty in it though. Dan