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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: Nemer who wrote (49206)	8/4/1998 4:37:00 PM
From: Jenna	Read Replies (1) \| Respond to of 58727

Nemer, I'm not sure I understood you correctly but if I did you mean you are losing some of your retirement account but making up for it in your trading account. That is what I am doing and I'm well ahead at least so far. Luckily I made my husband divest himself of a weighty John Hancock Bank mutual fund about 6 weeks ago. What I see here is that this is a really good situation for people who don't need to take their money out of their long-term portfolio for a year or more (I won't touch mine until 2000-2002). We 'traders' trade on the volatilities of market buying 'puts' or 'calls' and stocks and since our 'losses' from our so-called 'retirement account' are only on paper in the long run we win. I've done this in 1996 and won.. I've done something else in October 1997 (I would not have panicked then, but I was in options and I had no choice) and lost but I was 1 for 1 going into this latest correction and now I'm well ahead. What I don't understand is why 'traders' seem to speak of a long-term rally and act as 'investors'. Today going into some stocks I mentioned at 10:30 to fellow traders not to get too cocky as this is purely a bounce rally. They thought that the 'techs' were now bouncing back and here to stay. I went in expecting a very short-lived rally and took profits almost immediately. We have to look at the next few weeks as purely 'trading opportunities' for either swing trading or intraday trades. Any expectations of anything else will foil your attempts at profit taking. I currently have a 'lottery' ticket of 2 options one in MSPG and the other ELNK just in case AOL and CSCO spurt a rally. I'm ready for whatever comes. I don't do many 'puts' especially not on the indexes, but on specific stocks. As long as everyone realizes the pressure was building up and these 'mini-corrections' are healthy and will prevent any explosion which I don't foresee anyhow.