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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?

To: Tom K. who wrote (7632)	6/13/1998 5:03:00 PM
From: Dnorman	Read Replies (1) \| Respond to of 14162

Tom: I appreciate and welcome your comments, it definitely will help my learning process. When we are selling do we use the ask price? I noticed the 9/16 price which you used is the ask price. I thought that was the MM who gets this price. I like the concept of selling naked puts to acquire a stock at a better price. You mentioned their is risk if the price of the stock drops. It looks like if that happened you could turn around and sell the CC to reduce your cost basis. That is why I am trying to figure out If I can sell CC where none are being sold to help reduce the risk. The thing I like about this stock is it is one of the best stocks in a industry that has to be near the bottom. Thanks Dennis