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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Dr. David Gleitman who wrote (81657)	11/21/1998 3:20:00 AM
From: Kona	Read Replies (1) \| Respond to of 176387

David Gleitman, the CBOE site is an excellent source of options information cboe.com Quick answers: You can buy back an option you sold any time you want. A put is the opposite of a call, if you sell a put you are obligated to buy the stock at the strike price if the buyer of the put chooses to exercise. E.G you sell the dec 60 put, the stock falls to 50, you have to buy the stock at 60. Of course you have pocketed the premium and you get to buy the stock 5 bucks lower than it is now. If you are bullish over the long term it's not a bad way of accumulating stock, especially if you wrote a call at the same time ! The time premium of an option decreases at an increasing rate as you near expiration. Final suggestion is to get Larry McMillan's book, Options as a Strategic Investment. Start slowly, get familiar with a section by reading it at least twice before trying anything. Don't get fancy and DO NOT OVERLEVERAGE,that way you'll still have money to trade after you've learnt the hard lessons. Good Luck and spread the wealth if you make it!

To: Dr. David Gleitman who wrote (81657)	11/23/1998 2:21:00 AM
From: freeus	Read Replies (2) \| Respond to of 176387

re options: I am also wondering if one is notified before someone exercises that call you sold. That is why this waiting period is somewhat unnerving. But everyone seems to be ignoring DELL right now and buying and selling internet stocks. From a comment about Rambus I think that your stock can just be taken and poof it isnt there anymore. Right now of course our sold calls are under $2. I would imagine if DELL stays around $65 and does not change in price that they would go down still further. Perhaps they'll go to 50c and we can buy them back to put ourselves completely out of danger. What do you think? Is this fun, or what? Freeus