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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: Sam who wrote (10053)	3/24/1999 9:11:00 AM
From: Herm	Read Replies (1) \| Respond to of 14162

Hi Sam, Your Questions: 1. You own the stock and you sell an opening (transaction) of calls. 2. You decide to buy them back , its a closing (transaction) of calls also known as cover or covering. 3. You sell a call on a stock you dont own you are NAKED! Don't do it! 4. You buy a call on a stock you dont own , its an opening call? 5. The stock goes up and you want to exercise your option and buy the underlying stock. You are USUALLY warned before the expiration date. Note! You can exercise at any point before or on expiration date. When you deal with options you tatoo the expiration dates to your chest. That is a WINs rule! :-) You are doing good Sam. Here are some more reading goodies for you! CBOE Review of option terms and dynamics cboe.com CBOE Option ToolBox Software - A Must Have! cboe.com The WINs Approach - Our Secret Tools! webbindustries.com