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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: Herm who wrote (7971)	7/27/1998 6:50:00 PM
From: Zach E.	Read Replies (1) \| Respond to of 14162

could you write CCs against cash instead of the stock? If I understand correctly, this is otherwise known as writing naked calls? I'd be surprised if any IRA accounts let someone do that. I wouldn't want to do it myself, you never know when a takeover bid (or a short squeeze) is going to come in. Zach

To: Herm who wrote (7971)	7/27/1998 8:00:00 PM
From: CCWriter	Read Replies (1) \| Respond to of 14162

Herm, Looking to get back into Compaq. According to the BB's the stock may have some downside left to go. But the RSI has started moving up. bigcharts.com The lower BB is near 27 1/2, the stock is trading near its 50 day moving average, while the RSI made a turn up today at around fifty. My worry is that the market may have made a turn upward today. How close do you try to get to the lower BB before you buy a stock? How do you deal with contrary indicators? I know that the RSI can still turn downward. I just don't want to miss out. Thanks, blaine