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To: Front Beach who wrote (20008)	9/5/1998 1:18:00 PM
From: IQBAL LATIF	Respond to of 50167

It is not 4*910 shorts it is four times what I have longs-- below that is vaccum-- this is the good thing about volatility, the strategy is to pick up on the way down 920's to cover your 910 and sell 50 points lower-- however this is helpful in days like now only-- we have seen a lot more difficult times and I have been able to cover my self-- the premiums of out of money options which we extracts from shorts are phenomenol- once these puts are in the money they are no good-- the play is sell them when market is down and buy them back on rebound- in the money put like 960 if SP is trading at 955 will have a value of 35$ whereas 910 due to volatility will be 13- 40 points out and you look at decay in premium also as time passes.risky but equally rewarding- Hedge fund kind of trading-- learnt it from one of the most renowned in the trade..