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 : CYRIX / NSM -- Ignore unavailable to you. Want to Upgrade?

To: Rich Dondo who wrote (28749)	8/7/1998 4:24:00 PM
From: Dale J.	Respond to of 33344

??? it has to be infinite return if you have 0 invested and you are correct in your excecution(stock not your)): ....are you still with us Dale?? the puts are now near worthless....and the calls have +++ premmies since you sold the puts, you can now cover, also you can sell the calls..all gain no pain..simple two day infinite return... Rich, what are you smoking? Pay attention and I will save you from having to learn about options the hard way. Ok. Those that Bought Puts against NSM have done incredibly well at the expense of those that sold PUTS. The stock went from 42 to 11. The Put premiums become worthless as the put expires. But it is more than offset by the drop in stock price. The Put sellers (You) have to fork over the difference to the PUT buyers. Now the calls you bought to open will probably expire worthless (depending on the strike, expiration). Either way you lose. You can't make money going long, when the stock is going South. Dale