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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?


To: James F. Hopkins who wrote (17397)4/27/1998 10:07:00 AM
From: RWS  Read Replies (1) | Respond to of 94695
 
At 10:00 no bid/ask on my SPX May 1090 and 1100 puts. Looks like downside momentum is hitting a bottom.

You're right about selling puts same as buying dips, except I'm looking at time erosion and the premium on volatility.

Thanks.

RWS



To: James F. Hopkins who wrote (17397)4/27/1998 1:13:00 PM
From: P.T.Burnem  Read Replies (1) | Respond to of 94695
 
From a risk/reward standpoint, selling puts is very different from buying on dips. As long as the VIX remains below 35-40, I'd not recommend selling puts on broad-based indices.