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To: J. P. who wrote (32733)4/12/1999 1:47:00 PM
From: yard_man  Respond to of 86076
 
If you buy the put at a local high (stock price) and then sell it back at a local low -- you get a gain which is still taxable and your shares are then unprotected, so you have to buy another put -- you are still sitting on an unrealized gain in the stock -- I don't see the advantage.

If you leave yourself uncovered at any time to trade the puts, your protection isn't worth much and being long the puts -- time works against you