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jj90, ChrisM, MTE, Thank you all for taking the time to respond. Your responses, explanations, and links were excellent. I sincerely thank you for your help, Arnie

Thanks again to ChrisM for the post about buying an option at the next strike price down to free up some margin when selling naked puts. I understand the common formula: 30% x Underlying - OTM amount + 100% of option premium = Margin Requirement; for naked options. How do you calculate...

That's my biggest problem/fear. I'm focusing on too few companies. Not enough diversity. It's very hard for me to find companies that meet my criteria. I've got 19 companies on my watch list, and it's time to start re-evaluating the ones that are on there, and maybe replacing them. I like...

Jan sucked, Feb was good, March was very good, now I'm salivating with all the trading/writing ability I'll have come Monday morning. My hands were tied up for a while with all my margin used up, but I'm free now. Lotsa positions expired worthless. I have a few April positions, and...

Well, that too! :)

"...headed north....." "...reverse down....." 'makes a market, don't it? :cool:

If you read my post, it went ex-div this Monday, the 13th. It didn't get called away, I still own it.

I don't understand why you would short the stock and buy puts. Both positions have the same hope, that AAPL goes down. Why didn't you just buy more puts? They are already ahead 23%, while the stock position is only ahead 3 1/2%. Quite a difference in bang for the buck. So many times people...

Well, thanks for the vote of confidence! :D How about a ballpark number on your account, so we know if we should be interested in your opinion? 100K, 1/2 Mil, 7 figures, 10 Mil, more? Arnie

I disagree with novel20, and agree with thirst, the size of the portfolio and dollar are irrelevant. Percentages are the most important. The comment regarding people not being interested unless the dollar amount aren't above a certain level border on being elitist. Maybe novel20 should...

You have my attention, what do you mean?

Well, even if it's 38%, 62% of something is better than 100% of nothing. Arnie

A very important difference, indeed. Calls very deep in the money often have little to no premium. There's that risk/reward thing again. The first in the money call has the fattest premium. Arnie

You are forgetting the dividend, $.80. Another way to do the math is..... 72.92(MO) - 4.30(Apr70call) - .80(Dividend) = 67.82(Total Cost) If called away, 70 - 67.82 = 2.18 profit, 3.21% for 6 weeks, 27.8% annualized. As for the tax implications, I dunno, I use H&R Block Tax software...

Well, I guess my math was wrong. It's 6 weeks, not 7. So it is 26.8%, not 23.1%. All the better! :)

I know some on this board don't like covered calls; capital intensive..etc, but some do. They're easy to understand, and I would be willing to bet are the first type of option trade most people do, they were for me. So while we're on the subject of ITM covered calls. I thought I'd post a...

Thank you. I found it funny that the guy who was telling someone they had "a lot of learning ahead" of them could make such a statement.

What sounds better, a Les Paul, or a Stratocaster? Depends on the song, the player and the mood. They're both used to make music. I use 'em both. What has more risk, a naked call or naked put? Depends on the stock, the investor and the trend. They're both used to make money. I use...

cnms2 posted a link to real neat option calculator, http://www.ivolatility.com/custom/pbc/ Thanks again for that. I have found two more that are kinda neat, too. http://www.888optionsnet.com/calculator/main_advanced.asp...

I've read these terms so many times in this forum, but have been embarrassed to ask what they mean. For those of you like me, here are the definitions. I got them from an option calculator, the link to which is; http://www.888optionsnet.com/calculator/main_advanced.asp I apologize if this...