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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: David Wright who wrote (10874)	5/23/1999 12:36:00 PM
From: NateC	Read Replies (1) \| Respond to of 14162

David wrote However, I am wondering what they do with margin when you do a calendar spread using a LEAP in combination with writing a near term covered call? Of course, when you do a combined position like this, you give up the opportunity to leg into the Covered Call as the underlying stock lifts off the lower BB. I don't understand this exactly. If you "buy the underlying" like the WINS approach says......when the lower BB is tagged, RSI is low, etc...........you buy your long LEAPS call at that point...and you then own the underlying "surrogate"...you then wait until the upper BB is tagged to CC