Selling and buying stocks is a craft you should work on very careful.

In my last article on buying stock at discount, I demonstrated the power of Knowing your craft with option trading.

At this time you are in a position with long stock, and you are wishing to sell.

before we start we need to level up the knowledge with all the readers.

Trading tactics test case:(FFIV)F5 networks inc.

From what we see is tha this companies stoke rises and it IV rises also,its insinuating that the market do not agree to its movement.

and because of tese redings you have decieded to sell the stock.

one way to sell is in the market for the price its trading now (June24,2008)at : $29.27.

the other way is to sell with premium.

Call at the money strike:30 experation at end of Jul trads at: $1.35.

It meens, if you get exercised you will sell the stock at the price of 30$ and add the permiune.

if you calculate the premiume in percentage points you will see about 4.5% added to your gain already you have from the stock.

and if you will not get exercised still you will get to keep the premiume.

this strategy is called covered call.

You should not be afraid to sell options,

As long as you know your craft.

free stock picking