Dendreon Corp: Extra 16%-18% In 7 Months Or A Lower Entry Price On This Speculative Play
By Sol Palha:We would like to begin by stating that this play is speculative in nature. Hence before you put the suggested strategy into play, you need to make sure you are bullish on this stock, and that you understand that this play carries a higher amount of risk than your average stock.Before we get into the meat of this strategy let us look at some of the benefits associated with selling puts.Selling puts is a great way to purchase shares in companies you like at a predetermined price. In essence, you are getting paid to put in a "limit order."
- In essence, you get paid for entering a "limit order" for a stock or stocks you would not mind owning.
- It allows one to generate income in a neutral or rising market.
- When you sell a naked put you are in a way acting like an insurance agent. The