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Strategies & Market Trends : IRS, Tax related strategies--Traders -- Ignore unavailable to you. Want to Upgrade?

To: The Jedi who wrote (203)3/5/1998 2:52:00 PM
From: Colin Cody  Read Replies (1) | Respond to of 1383
 
Limiting your trading to OPTIONS would neither preclude you nor guarantee you of TRADER STATUS.
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The courts have taken no position either pro or con regarding the use of options vrs stocks in this regard.
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If you are spending 12 months a year, working basically full-time and PURCHASE CALL options for market swings, and you derive most of your income from this activity, then YES, IMO, you could possibly be in the trade or business of a TRADER.
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Colin


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