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To: Chris who wrote (2418)4/17/1998 6:46:00 PM
From: Hawk  Read Replies (2) | Respond to of 11051
 
Hi Chris

Talk about bad timing with LEAPS, I win the prize.
I also have used them as surrogates for the stock, almost always
buying deep in the money. Two times I didn't I got burned bad.
Imagine I got Intel Jan 99 95's VNLAS's, I bought them when
intel was 90+ and CPQ Jan 35's VKPAG's when the stock was 68.
Worst of all is that I got a bunches of them(lots). My strategy was to trade them quickly for a few point gain. Needless to say the strategy blew up in my face and I'm near loosing a considerable portion of my
portfolio, unless these stocks rebound substantially by year end,
which looks doubtful. Anyway, my losses would have not been as large
and my potential for recouping them much better if the LEAPS had been deep in the money, Live and learn.

Regards

H.



To: Chris who wrote (2418)4/18/1998 12:16:00 AM
From: smolejv@gmx.net  Respond to of 11051
 
re LEAPs in Germany and 3/99: I was talking about available options for US stocks. If you want Siemens for 2005, no problem.

<< not getting caught in say Jan 2000 in the middle of a market dip.>>
This question is orthogonal to the decision stocks, bonds or options. The only difference is the size of the penalty. My big question I'm mulling over in the background of my head right now is what drives this in and out of cash. Being 75% in cash...Reminds me of those 10$ ladies in Las Vegas that tear themselves away from the bandits only to come back for more. The big-time stud players, well they man the tables on a regular basis. It's an investment you're talking about, even if you are (stupid as it may sound) 100% cash. It's eventually psychology, that decides on the concensus between fear and greed. I'm cca 15% on the margin at the moment and am not greedy enough to go any further.

<<If I didn't like volatility all my money would be in a US Government backed CD. >>

Tell it brother,alleluyah.

Janko