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Dennis Anderson

Dennis Anderson
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  • A Daily Options Trading Strategy For High-Flying Stocks [View article]
    Might try Big Charts and finviz.com. I use Thinkorswim, but I think you have to have your account there.
    Nov 9 11:08 AM | Likes Like |Link to Comment
  • Retirees Need To Look Beyond Market Volatility: Time Is Your Friend [View article]
    My wife and daughters can quote you the script of the entire movie! Drives me crazy. Now, just where did that holy grail go?
    Nov 8 11:52 PM | 2 Likes Like |Link to Comment
  • Retirees Need To Look Beyond Market Volatility: Time Is Your Friend [View article]
    "he ain't dead yet"
    Nov 8 11:50 PM | 2 Likes Like |Link to Comment
  • Retirees Need To Look Beyond Market Volatility: Time Is Your Friend [View article]
    Don't forget "Keep on the Sunnyside (of Life)".
    Nov 8 02:59 PM | 1 Like Like |Link to Comment
  • Monthly Dividends For Retirement Portfolios [View article]
    MB: I've got a 6 or 7 figure income, unfortunately too many of the zeroes are on the right side of the decimal point.
    Nov 7 06:14 PM | 3 Likes Like |Link to Comment
  • A Daily Options Trading Strategy For High-Flying Stocks [View article]
    I am with TDAmeritrade/think or swim. All of Kevin's indicators are on Prophet Charts in think or swim (RSI is exponential and not simple). Was with OptionsXpress previously, but I saved on commssions by moving. OX is a great platform and easier to use than think or swim.
    Nov 7 03:57 PM | Likes Like |Link to Comment
  • Core Retirement Portfolio For The 55 Year Old [View article]
    Robert: My wife is a high school math teacher. I read your a r (a-r?) comment to her, and I had to pick her up off the floor, she's laughing so hard. Then she asked if O C requires a period after the O and the C.
    Oct 29 12:02 PM | 1 Like Like |Link to Comment
  • A Different Dividend Investing Perspective: Are You Running Your Company Or Is It Running You? [View article]
    Dave: I've given my 3 daughters and sons-in-law both the "Richest Man in Babylon" and "The Millionaire Next Door." I need to follow up!
    nvc
    Oct 28 02:04 PM | 1 Like Like |Link to Comment
  • Core Retirement Portfolio For The 55 Year Old [View article]
    Robert: perhaps I was too broad in my statement re: CINF. I had been looking at put options for October and then November. Instead I went with a limit order to buy the stock at $25. Unfortunately CINF pricing took off this week.

    The put options for Oct & Nov were very thinly traded; in general I want to see an open interest of at least a few hundred contracts at a given strike price. The more open interest the better, this assures liquidity and a tighter bid spread. This helps me to get the trade at my price for either opening or closing the position. Compare the option open interest volume, pricing, and bid spreads for CINF vs. some other good d-g stocks like ABT, KMB, COP, T, and LMT.

    Now, I see that the December options for both puts and calls have more volume than the preceding months. Nevertheless, today I could sell the December $25 put for only $0.15 -$0.20 ($15-$20 per contract). For me, that's not enough. In general I would like to collect the equivalent of at least one dividend ($0.4025) or more for an expiration date that is 20-50 days in the future. If CINF begins to fall back quickly, the $25 put premium will increase and could become more attractive. The next available month is March, and I don't want to go out that far.

    By the way, thanks for all your articles and comments on SA. Disclosure: open short put positions on ABT, COP, BPL, KMB, LMT, NUE, T, PEP. All of which, I want to actually own.
    Oct 28 01:59 PM | 2 Likes Like |Link to Comment
  • Retirement Income For Life: Annuities Or Dividends? [View article]
    GotLife: In your scenario. Was there an income differential between husband and spouse? If so, which one had the higher income? Does the Social Security website provide the ins and outs of the spousal benefit?
    Oct 28 12:25 PM | 1 Like Like |Link to Comment
  • Core Retirement Portfolio For The 55 Year Old [View article]
    nikeoittus: I sell puts to gain option premium on stocks that I want to own at certain price--like you are describing. I view the premium I gain to be much like collecting a dividend. If I don't acquire the stock at expiration, I may sell another put(s) further out. If the stock has fallen too far, I may roll the option further out. The key here is to take more in on the further out option than you lose on the current put. For example I have November $70 puts on COP. Beginning with July $72.50 puts I've accumulated a credit of $6.23. Some of the intervening puts expired out of the money and I kept 100% of the premium but did not buy the stock, because it was priced too high. But then the bottom fell out in August and September.

    I really wanted to own COP, but I was forced to roll down to the $70 puts and go further out. The risk is that COP would continue down. It's a bit like riding a bull or bronco; eventually you would like to get off without getting hurt. Now that COP has moved back up, the pressure is off. If it stays above $70, I will keep my full accumulated credit. If it's not too far above $70, I will buy COP and keep part of the accumulated credit. If the price goes below $70 and is nearing the November expiration, I will decide whether to let the stock be assigned or if I need to close November and go further out again. Because I've been able to accumulate $6.23 per share, I now have some flexibility on the price I am willing to pay to buy the stock.

    This is not for everybody. It depends on your philosophy, tolerance for risk, and willingness to follow pricing and charts.

    Finally, I also set limit orders where there is little or no options volume. For example, I sold my position in HGIC with the buy out announcement. However, I want to replace it with CINF. Options don't work with CINF, so I have a limit order that is good til cancelled. By the way, a limit order ties up your capital the same as a cash secured put. My only reason for setting the limit order is to enforce discipline on myself.

    I didn't respond to you earlier, because I knew it would take a long response. But I hope this addresses at least part of your question.
    Oct 28 12:18 PM | 1 Like Like |Link to Comment
  • A Different Dividend Investing Perspective: Are You Running Your Company Or Is It Running You? [View article]
    Dave: You may not have read "The Richest Man in Babylon", but all my impressions about you say you are living the philosophy behind the book. It's been awhile since I read it, but I think the premise (premises?) could be summarized as save (invest) and give back.
    Oct 28 11:47 AM | 1 Like Like |Link to Comment
  • Bushes And Birds: A Different Perspective On Stocks And Dividends [View article]
    And, being a Boise State guy I'm not nutts about him either.
    Oct 27 08:06 PM | Likes Like |Link to Comment
  • Core Retirement Portfolio For The 55 Year Old [View article]
    Norman: Thanks for a thoughtful, well laid-out article. This is the sort of information even the greenest of novices can follow. At age 64 I wish I had been exposed to it long ago.
    Oct 27 02:50 PM | 3 Likes Like |Link to Comment
  • Bushes And Birds: A Different Perspective On Stocks And Dividends [View article]
    David: There's not much I can add to the sentiments already expressed, except to say yes! I relate to your style of writing as well as general philosophies. I'm a pragmatic, serial thinker. Your writing is clear, concise and useful. I guess I'm another variant of a d-g investor. I like to sell puts on stocks I want to own (d-g stocks). So far this year I've collected more in options premium than dividends, but options premiums don't grow like dividends.
    Oct 25 09:01 PM | 3 Likes Like |Link to Comment
COMMENTS STATS
349 Comments
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