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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?


To: dazzled who wrote (9284)12/21/1998 2:23:00 AM
From: ed c.  Read Replies (1) | Respond to of 14162
 
Dazzled,

You're absolutely correct, a huge move below 1110 can be very painful. In an emergency, I can go short the delta equivalent of futures as a quick hedge. Many times, I can also dump my ratio spreads for a small profit, depending on how long it took SP to reach 1110. Its not the holy grail, it has its drawbacks. But I'm just trying to play the probabilities. Maybe someone else reading this has some ideas for improving it?

ed