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

To: Rob L. who wrote (17536)	5/23/1998 12:35:00 PM
From: Karl Drobnic	Read Replies (2) \| Respond to of 31646

Rob L: Jun 10 calls - I agree that a 10% return for one month is dandy. It is a trading approach rather than the "long term" approach of the Nov. 15 options. You have more commissions and more tax calculating to do with the trading approach. But if Tava were still trading at $10 in Nov., and you'd traded the near month option (covered call strategy) each month, you'd be way ahead of the long term approach. If Tava is at $15 or better in Nov., the long term approach is likely to do better since there is only one trade, whereas the trading approach has incurred a lot of commissions and tax events. I bought a new position with the objective of doing two covered call trades per year and netting 30% on the two trades. The important thing is know your game plan first, then act.