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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Chas who wrote (109712)	3/17/1999 3:26:00 AM
From: PAL	Read Replies (1) \| Respond to of 176387

Chas; buying put is like paying a premium for car insurance. If there is no accident, there is no payment. Your premium is gone. Who makes more money? The insurance company or us? The above illusitrate that there are not much you can do if yhou have puts and the stock moves away from you. Generally people will wait until the last minute hoping that the stock will come down again. But is that a wise strategy? Nobody knows. I have yet to meet a person who is consistently a good market timer. One thing to remember: BUYING PUT AND SELLING COVERED CALL ARE FOR BEARISH SITUATION. Selling puts and buying calls are for bullish situation. I am afraid that I do not have an answer that comforts you. If the stock is s strong stock (check IBD Acc/Dis and Relative Strength), selling the put might let you preserve some time premium. Just think that Dow 11,000 is only 10% from here. It should be achievebale this year. Every one of us have made a wrong move. FYI I did buy puts on AOL some time ago. Of course I lost it all. Now I sell put on AOL. The buyer will probably lose it all. Good Luck to you. Paul