Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Joey Smith who wrote (56040)	5/23/1998 7:24:00 PM
From: Sundar Rajan	Respond to of 186894

sold some July 90 calls for $1 3/4 when Intc was > 80+ and bought them back @1/2. Not as good as shorting but i reduced my cost basis. Let me know if you can get $3 premiums for 90 calls. I have a ton of Jan 99 80 calls that I want ro reduce cost. With the voltality in INTC I am wondering whether it is best to buy deep in the money calls or leaps and trade them. Warrants were great for trading too.

To: Joey Smith who wrote (56040)	5/24/1998 11:34:00 PM
From: Erwin	Read Replies (2) \| Respond to of 186894

Covered calls are a good way to pick-up a buck and lower your investment amount that is tied up in the stock. Additionally, the amount you get for your call is not reported to the IRS on a 1099. If you want to sell 90 calls and your basis is below 90 and you are happy to give up the stock at 90 plus the call premium - cool beans. If the market is at or below 90 you will probably not be called and you get to keep the stock. Just make sure your head is set to give the stock up if you are called. Current prices for 90 calls are about: July 7/16 Oct. 2 1/8 Jan 3 3/4 Good prices - Good luck, Erwin