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

To: arthur pritchard who wrote (110010)	3/18/1999 3:00:00 AM
From: jim kelley	Respond to of 176387

Arthur, Get yourself a new broker. You need to be in control of your positions not Scwab. "I don't yet have permission from Schwab to write puts. I may switch brokers--it depends how they handle my request. So I'll just reduce my profit objectives and do what I did for eight months, until this issue is settled. Can you believe that at the lowest option permission level, they require a put be "covered" by first shorting the stock? "

To: arthur pritchard who wrote (110010)	3/18/1999 7:30:00 AM
From: edamo	Respond to of 176387

arthur...re: dell/puts... you are a true gentleman...keep in mind mark's posting...you may have missed a wave, got knocked over, but the secret now is to get your balance, clear your mind and not drown.... further to rolling a "losing" put forward...as long as the put is in the underlying such as dell...when you roll forward with the same strike, you do not layer loss as you would logically surmise...you are used to margin, where losses add until the inevitable comes,for it is cash out....in fact the additional premium is reducing your cost basis further should the stock be put to you....a may 50 @ 8.5....an 0150 @ 15...same exposure, same margin/cash requirement and if the may goes against you instead of a 50-8.5=41.5 cost basis you have a 50-15=35 cost basis, and 6.5 to your cash account when you roll...your margin/cash exposure can never exceed the strke price...even if the stock drops to zero...you get no margin calls as long as you have capacity, so the brokerage can't sell you out...big difference psychologically when you are net cash versus debt... you're a street smart individual, and you know the streets i refer to...we have shared views on brokers...i'd rather have one who places my interests above the firm for i am his client, my portfolio and trades help to feed his family...so it costs a bit more...but he is watching my back...a fair trade off... when you feel ready, pm me...no bs....just the facts.. good luck and all will be well! ed a.

To: arthur pritchard who wrote (110010)	3/18/1999 8:19:00 AM
From: Jill	Respond to of 176387

Arthur--I agree w/ PAL that you should switch brokers. Schwab didn't let me write puts either, and overall they were not helpful, so I switched to Fidelity (altho if you're going to do this big time you deserve a full service broker. I'm still relatively small change here). Fidelity gave me no problems, and actually their options traders are pretty good, and they give you the best execution price available from the 3 exchanges. (Naked option trading has to be done by phone, the rest can be done on the web). Whether or not you plan to use it right now, it seems safer to have all options (no pun intended) at your disposal, so you are free to move in any direction at the time you choose to. I guess what I'm trying to say is I don't like Schwab... Jill