So what's the fallacy, I always like to learn?

Plus if you like covered calls look into ITMN...you can sell an in the money already call and get an 18% return if it gets exercised.

Well I made 300bbs an hour yesterday...

When someone tells me they can make 10% a month I take it that they don't mean once in awhile but on a consistent basis. If you really could consistently make 120% a year off your investment you would be a billlionaire (as there would be crazy demand for your services).

Up until recently real estate was considered the best possible investment (and we saw how that played out) and even then you would rarely see returns anywhere near 120% in a year.

aha...people keep assuming that I mean you can compound 5 - 10% a month.

What I meant was, you can make 5 - 10% on your principal each month as additional income to live on so you don't have to dip into your bankroll.

The principal (value of the stocks) will go up and down with the market...the income on that principal will be 5 - 10% per month.

For example, we can all assume druff is a millionaire. He decides to invest $100k and do some trading...on day 1 he makes $7500 selling calls on those $100k in stocks, he then has to wait until they expire on the 19th or whenever...in that time his stocks may have gone down more than the $7500 he made from the sale...so he has made 7.5% income (cash) but has actually lost value so his total return is actually negative....see the above post about setting triggers on the stocks and options as a stop loss.

I hope you guys got in on ITMN.

It's up $8 today and if my $20 calls get excercised (which is very likely) that will be a 40% return in 1 month.

Just covered DCTH at the $10 strike price. A little leary on this one since it's had a big runup already.

so I didn't put too much at risk. If exercised the return will be 10.83%, If expired it will be 9.62%. Not bad for 1 week.

of course the stock could go in the crapper and wipe out that return...proceed at your own risk...

Turns out DCTH did not get exercised but has run up to 13.50 this month, so I just put a trailing stop on it to lock in at least couple bucks of profit per share. If it runs to the moon for whatever reason (good drug results etc) I make even more...but if it goes to shit I'm protected by the trailing stop.

Is anyone reading this crap...

My monthly return on covered calls for the year has been:

Jan 2.5%
Feb 7.3%
Mar 45.6%
Apr 27.8%...Includes gain on DCTH with Stop price...I risked only 1/3 of the other months.

of course since the market it on fire lately it's easy to make money...once it turns...using covered calls etc...won't work as well.

I guess whwta I want to know is what is the actual risk. I could easily gather several hundred k from friends. Most of them have at least 20k in retirement funds which garner no where near 50-100% interest per year. People would kill to easily make that sort of return. My uncle is very knowledgeble in stocks and probably has well over a 1 million in retirement savings invested yet I'm sure he doesn;t make anywhere near what you claim. Which is why I'm skeptical.

There is ALOT of risk. I certainly wouldn't do any covered calls with retirement money.

The stock can go WAY down and you lose on the stock which you are stuck holding until the option expires, the stock could go up a bunch and you lose opportunity costs.

the stocks with the highest calls are the most risky.

It's easy to calculate the risks or to hedge the risk, but the hedging (using Puts with the calls) is more expensive on the higher calls.

How come this site http://www.pokerstrategyonline.info, teaches you the tips and tricks on poker while others just tell you, hey play like this or that. I want to know the ins and outs, not just pot odds. Real strategies and guides that don't hurt your eyes to read.

spamalot

I live in Pittsburgh in the heart of South Western Pa. All I do is rehab houses. We buy mostly in the Penn Hills area. Average purchase price is $25K-$35K. Put about $10K-$15K into the property, >$50K total invested. Theyt rent for $850-$1000 month. After rehab value of $90k range.

There are ways to leverage if you have credit with bank loans, but the best for me is owner financing them with a small down and rehabbing and renting them. We then market several properties at once to long term buy and hold investors at a discount from market value and cash out.

We hit 15%-25% ROI on every deal minimum or we dont even go near it. I dont make a killing but I hit 6 figures and will have properties producing $200K positive cash flow in less than 10 years.