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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: Ibexx who wrote (6147)	8/11/1998 10:52:00 PM
From: Doug M.	Read Replies (2) \| Respond to of 93625

Ibexx, What are you going to do with the $56K in cash you generated today from selling your leap calls today? I'm obviously assuming all 25 contracts were yours, I have a good feeling they were. I have the same position (Jan 2001 60 strike) and I'm holding on for the big gains I expect in 1999. Although I'm up almost 100% on my position (I bought at 12) I consider it a long term position. I hope I'm not getting too greedy, but I'm really confident about Rambus one to two years out. I typically don't trade leaps, I hold them until near expiration just as I would hold a stock. However, that philosophy hurt me last year with Intel. I had some excellent gains with Intel leaps which expired in 1998 that I bought in 1996. I was up over 200% on a sizable position, but I really gave back a lot, I mean A LOT of profits when it went from 102 to the mid 70's and never really recovered by expiration in Jan of 98. I still had a decent profit but I saw a Significant chunk of cash evaporate. Anyway, any insight would be appreciated. I don't think the same thing will happen with my Rambus position, but I just want to hear your reasoning for selling the 2001's. Maybe you can time it that well, but I sure can't. By the way I don't have any other position in Rambus except for my leaps. You must feel comfortable with your stock position to exit the leaps. I would have to sell some INTC to buy more Rambus, and I don't know if I'm prepared to do that right now. Bye for now, Doug