SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?

To: Joseph Francis Torti who wrote (9808)3/1/1999 10:38:00 AM
From: VincentTH  Read Replies (1) | Respond to of 14162
 
Joe, Eric and Herm,

This is my observation as someone who has benefited from this forum.

I believe there are at least 2 kinds of stocks with different behaviors.

The first group, are the so-called trending stocks, e.g. CSCO, DELL, MSFT, INTC, HD, COST, indeed the majority of the growth stocks. I use the MACD histogram to determine the trend. When the MACD histogram is positive, the stock is trending up (equivalent to RSI heading up), and vice versa. The graphs displayed definitive trends, up or down for a long period of time. My apologies to Herm, but for these stocks, I have learned never to sell CC. For these I use long term indicators (MACD, RSI) to locate trends, and use short term indicators (Stochastics) to locate entry points for either long or short positions.

The second group, are the volatile stocks. Small Cap Tech, BioMed and cyclicals usually fall into this group. The stock moves in short trends, and sometimes the cycles are tied to earning reports. Applying WINs to these stock gives me a steady source of revenues and most of all, better sleeps :-).

Just my Very Humble Opinion,

//V



To: Joseph Francis Torti who wrote (9808)3/1/1999 9:00:00 PM
From: Alan L. Fulkerson  Read Replies (1) | Respond to of 14162
 
Not necessarily so. I own Cisco and Intel at relatively low share values. CCs are a great way to create dividends from stocks that pay low or no quarterlys. Two weeks ago I sold Intel April 150s at 4.5 and last week I bought them back at 1.375. I did something similar with my CSCO shares. Admittedly, I'm just a novice, but this sure seems to beat trying to pick the highs to sell and the lows to get back in good stocks.


HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News