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To: Curlton Latts who wrote (17448)5/12/1998 3:52:00 PM
From: Zeev Hed  Read Replies (1) | Respond to of 25960
 
Curly, it is very easy, 90% of the call written expire worthless, those that wrote those calls are consistently (90%) reaping these profits. To succeed in buying calls, you have to be a timing genius, but to consistently write covered calls, is a no brainer.

Zeev



To: Curlton Latts who wrote (17448)5/13/1998 8:10:00 AM
From: Steve Wood  Read Replies (3) | Respond to of 25960
 
Zeev,

Re: writing covered calls. I think the risk that you're not seeing is the fact that you're locked into a position should the market turn against you.

A covered call is just a synthetic naked put. The risks are, for all intents and purposes, the same. Yet for some reason, writing naked puts is considered very risky while writing covered calls is not.

Go figure...

Que le vaya bien... Steve