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To: PAL who wrote (118299)	4/17/1999 4:19:00 PM
From: edamo	Read Replies (1) \| Respond to of 176387

paul...<ot> brokers and puts... i've got a "choice" account (whatever that is) with morgan stanley dean wiiter..get excellent treatment,free lunches, shoe shines,(my broker actually mimics my trades for his personal account..he's on my side) not sure how they calculate, can access my account via internet and it shows my "available" credit line..silly as it sounds..credit line over the years has never dropped below 10% of my account (still have 10% available for margin or put writing)...i believe that the put selling strategy is a long term dynamic..and if you guess right...it allows tremendous growth in capacity...this week as i posted i closed out over a year old positions..but still own the stock which has appreciated, that i purchase with the proceeds...worst point in my account was 10/9/98..but still plenty of borrowing or capacity left... everbody's crazy paul (except us) remember three years ago...analysts predicted the end for kodak...fuji not only eating, but digesting their lunch...no body buying film..digital cameras the new wave...so what happened??? mental as i am..i agree with what has happened is akin to 10/97 and 10/98...buying opportunities..which in a six-twelve month period will create great wealth for those who have courage! keep the food down and the stamina up...ed a.

To: PAL who wrote (118299)	4/17/1999 10:04:00 PM
From: freeus	Read Replies (3) \| Respond to of 176387

re selling puts and margin calls This is the main problem, as I now see after receiving a "false" margin call on Thursday by Fidelity. And it is strange to me: when a stock is selling well above the strike price of your contract, and you have sold the contract, why keep anything back except the money to purchase the contract back: what investor in his/her right mind would force an execution of a stock that is selling for more in the market? And if that silly investor did, who cares, you (or the broker if it makes them happier) could turn right around and sell the stock for more, thereby making the brokerage happy and giving you (the contract seller) a profit to trade on???? Anyway since I like margin, and just was unable to pay my IRS taxes due because I no longer had the cash out power I was supposed to have in my account due to this "false" margin call, I think I am not so excited about selling puts anymore. It was nice easy money but I'd rather have the cash/margin cash available. Any comments? Freeus