gil,,,,from now on DO NOT PASTE YOUR YAHOO GROUP>>>>>THIS IS SPAM FREE,,,i tolerated for a long time.....and trust me.....NO covered call writer over time who puts a stop loss at the stock price minus premium they receive .....long term is successful..
--- In ConservativeOptionS
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> The year, as expected, soon fell into a "correction"
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> Our "Green Light" call is typically real near the very bottom. Gains usually then unfold, but like the latter half of 2009 - the market's health was suspect as new highs were met in lessening volume.
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> We avoided steep losses during the '08-'09 drop, then made a timely entry on 12-MAR-2009, our "Green Light" call. We then made about 15% in less than 2 months - but near mid-year price and volume action diverged - with volatility. . .capping gains.
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> All that the second half of '09 and the ineffective Q1 '10 correction did was to prolong the inevitable - which we saw last week. Volatility rocketed as buyers vanished amidst an awesome drop. Why is that significant? Once a correction "capitulates" or when participants throw in the towel at any cost, a market "bottom" can unfold into a *healthy* uptrend.
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> Currently we are in Stop Losses or our "wait-and-see" mode. You've now seen - on two occasions - our timely move to cash as our stop loss methods manage to avoid the corrections. Once a healthy new uptrend emerges, we'll again make a routine entry - very near the *bottom* - to allow for our high-growth CC strategy to compound another large return.
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> This is a proven long-term approach that works well during early-, mid- and late- bull markets and avoids losses during corrections and bear markets. For more on this, take a look at gains off the 2006 summer correction - which lasted 4 months plus 2 more in '07 for a 45% gain -
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> and, to a lesser degree, the rally off the 2008 Q1 correction that (like '09) only lasted a couple months.
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> Although you've "only" seen us avoid taking a heavy loss (Remember: shooting for high annual returns requires tight risk controls to manage long-term or compounded growth) we are still expecting a good run on equity growth in 2010.
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> It is best for you to learn with me ALL of these management phases - as they are equally important - if you expect to get under your belt a simple, high return CC system. Don't just chase short-term gains or mine, since by then mentoring space (FREE to Y! Group: http://finance.
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