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Technology Stocks : RealNetworks (NASDAQ:RNWK) -- Ignore unavailable to you. Want to Upgrade?


To: Vegas who wrote (1540)1/11/1999 10:02:00 AM
From: joseph w renfrow  Read Replies (1) | Respond to of 5843
 
JUst been lurking, but had to add my 2 cents....The potential here is great. Hard to time the mkt with these internet guys, but making some $$ with this one should be a no-brainer! Just my opinion!!



To: Vegas who wrote (1540)1/11/1999 3:27:00 PM
From: Estephen  Read Replies (1) | Respond to of 5843
 
I seems to me this stock is undervalued at 59 a share. By about a hundred points !! ( if it's compared to BCST). Everytime I listen to something on broadcast.com, the first thing that comes up is my real network software. I downloaded realnetwork a few weeks ago when I was buying cd's from amazon.com. Realnet works has a great presents on the net and is the dominant/leader in streaming media. Maybe 150 a share is too cheap, when you think about the growth and future of network broadcasting.



To: Vegas who wrote (1540)1/12/1999 2:41:00 AM
From: B. A. Marlow  Respond to of 5843
 
To Vegas re: RNWK Covered Calls

Hope you won't write them any time soon. We're rolling!

Just for the group's record, you wouldn't recover your loss on the buy-back (buy-to-close) of in-the-money covered calls by rolling up unless you went out very far. And in my experience, doing so is not often rewarding. Short call positions tend to perform better if kept to 1-2 months (and can certainly be renewed for higher annualized premium). A better strategy to recover is to do one of three things:

1) roll up 1 or 2 strikes at a time, going out 1 or 2 months each time, and eating modest losses while you try to "outrun" the stock. In many cases, you can catch up eventually.

2) in conjunction with a roll-up, or after a losing buy-to-close, going long either a similar or greater number of calls in hopes of recovering losses incurred (and then some!).

3) writing puts to offset buy-to-close or roll-up losses

And a reminder. Don't trade options if you don't know what you're doing. With options, you can leave a lot of money on the table, and you can lose a lot of money. Promise.

In any event, I would not recommend RNWK as a covered call candidate in this market. It's capable of moving much, much higher. Right now, it seems to be tracking BCST (portal "buzz"), but it can dance on its own!

We'll take it any way we can get it...

BAM