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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: Herm who wrote (9631)	2/13/1999 7:38:00 PM
From: NateC	Respond to of 14162

Hi Nate, Let me shed some light on Scott's post. The rationale is knowing where the stock may head and why! The rationale is going to our tool shed and taking out the right tool. In short, we have a game plan... thanks Herm for this post. Yes I'm just getting the drift. I was probably thinking of the premium only..., and forgetting that if the underlying goes down, you still lose! Pretty short sighted of me...andI appreciate your note. Lots of wisdom there!!

To: Herm who wrote (9631)	2/13/1999 7:45:00 PM
From: NateC	Respond to of 14162

I wrote this out previously..and it didn't post correctly. I was thinking we're in a sideways, and quite volatile market.... for people who believe in CC's, like people on this thread, why not add some premium by selling puts, say 5 - 10 under the current price...maybe 2 months out. (all things considered of course...not too far off of support levels, good fundamentals, etc.) what does anyone think of covered combinations...as a way of picking up a little more premium....over and above the CC. If you're really paranoid (I am)....you could wait for a move of strength, and purchase a put farther out of the money that the one you bought...hopefully cheap...for insurance.