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

To: dennis michael patterson who wrote (50289)	8/20/1998 12:42:00 AM
From: Lee Lichterman III	Read Replies (3) \| Respond to of 58727

Youain't kidding !!! I did the same today trading the August 540 calls. At least you were on the right side of the market. I wanted to trade the puts but they weren't moving enough so I traded the small upswings using the 540 OEX calls. Got in at 6, 6 1/4, and 6 5/8 and sold at 6, 7 1/2 and 7. I could have had an extra 1/2 point each time but they moved so fast by the time I typed the sell order and hit transmit, the bid had changed when the confirm screen came up and I had to lower my limit order. I see you definitely have to front run these things but I loved the volume. I have normally only traded stock options but the speed of executions on these are much better. The premiums on the September are outrageous however, the decay must eat people alive that stay in for any amount of time. Does anyone have an average rate of decay from beginning of month to expiration? Sept 540 OEX puts are around 14 and they are still out of the money! I loved trading these today but I normally work full time so I doubt I will get to do this very often. You guys out there that do this full time have my deepest admiration. I did find the TICK to be my lifeline for direction changes DEFINATELY

To: dennis michael patterson who wrote (50289)	8/20/1998 8:43:00 AM
From: donald sew	Read Replies (1) \| Respond to of 58727

Dennis, Its a tough racket. I look at it as a job and have to be attentive all the time. If a full commitment can not be made, one really should not trade options. Another strong consideration, is not to get caught into the excitement of it when you do well, and not to get depressed when you dont. This is a major concern since trading options can easily turn into a form of gambling. If one is easily caught up in the emotions - stay away. seeya