Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

Technology Stocks : Seagate Technology - Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: Stitch who wrote (570)	3/2/1999 9:01:00 AM
From: TEMFASSBAL	Respond to of 1989

<<Buying them. And since I am not an experienced options player perhaps I used the wrong term?>> FWIW Writing calls = selling (covered or not) Buying = buying (from someone who has written) And I'm glad you cleared that up because I couldn't figure out why you'd (write) sell the 37.5's and be positive (and I respect your fundamental insight so it had me a little concerned)....that strategy would indicate you would expect flat to down movement between now and exp. Tim

To: Stitch who wrote (570)	3/2/1999 1:56:00 PM
From: Frodo Baxter	Read Replies (2) \| Respond to of 1989

>Buying them. And since I am not an experienced options player perhaps I used the wrong term? An incredibly great way to lose your shirt, too. Reasons- a) wide spreads b) time is your enemy; time value going down c) wide spreads d) it's way out of the money e) wide spreads In case my argument sounded squishy, I offer the current quote on Apr 37.5 calls... 11/16 x 15/16. Since fractions are confusing, let's convert to price per call: 68.75 Bid, 93.75 Ask. Would you buy anything short of Berkshire Hathaway with a 25 dollar spread???