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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: Sir Francis Drake who wrote (21998)	5/3/1999 11:40:00 PM
From: Exacctnt	Respond to of 74651

Sir Francis, We are on the same wavelength. Most of my option plays occur within the current month of expiration. The premiums beyond that are just too high. I have been thinking of changing my strategy by looking at Jan2000 options, and I am considering writing covered out-of-the-money calls, and with that premium, buying puts that cost the same as the premium received from the calls. Of course some would say that I am limiting my gains to only 25-30%, however, I am also limiting my losses. Capital preservation again is coming into play. I would like to see us rally into the 90's before employing this strategy. (Wishfull thinking) Why not sell the stock? Capital gains is a major consideration when contemplating an outright sale of the stock. Especially, in my case, where 98% of the proceeds are taxable. Regards, Bob