[TheOptionClub.com] Re: Ratio Covered Call Writes on MSFT

 

--- In OptionClub@yahoogroups.com, "tseiter2000" <aseiter@...> wrote:
>
> Looking at Covered Call Ratio Writes on MSFT and wanting to get other thoughts and inputs.
>
> Situation/Scenario is as follows:
> 1. MSFT currently @ $25.94
> 1. Want to retain stock and NOT have it called away.

There is no way to ensure this now is there...

> 2. Looking at either writing 10 Nov. 28's Calls (MSQKC) @ $0.70 OR
> 20 Nov. 29's Calls (MSQKX) @ $0.40

If you get called out with the 29's then you will probably be 1000 shares short of Microsoft.

> 3. Buying 10 Nov. 30's Calls (MSQKF) @ $0.10
>

Ok..

Here is another option. Sell the puts. If MSFT goes down, you just get more MSFT shares and that's maybe what you want in the first place.

Christian

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