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Technology Stocks : TAVA Technologies (TAVA-NASDAQ) -- Ignore unavailable to you. Want to Upgrade?

To: Karl Drobnic who wrote (17532)	5/22/1998 1:38:00 PM
From: Rob L.	Read Replies (1) \| Respond to of 31646

Karl, why write the Nov 15 call when you can write the Jun 10 call for almost the same amount. If the stock does not get called, you earn almost 10% in one month. However, if you buy the Nov 15 and you don't get called you only get 10% in 6 months. Granted the chance of getting called above 10 is more likely, but if you get called away you can just rebuy the stock and do the same thing over again. Plus if the stock is rising when you get called, the premiums might be more than 10% above the strike price. This is the strategy I intend to employ with a portion of my holdings. To buy Jun 10's you have to be willing to lose your stock.