I'm running a cash-secured AMZN FEB 90 PUT. If assigned, I'll hold the stock longer-term. At the ad agency I work for, we have a person whose official job title is "behavior guru." Her job is to research consumer and corporate behavior, and she's extremely impressed with Amazon's long-term plans. Actually, she's been raving about them for a while and feels their stock is undervalued even at $95. However, Jim Cramer is also raving about Amazon, and I'm not too crazy about his picks. So that makes me wary about the trade. By selling cash-secured puts, If assigned the stock will have a cost basis of $84.65, and I'm willing to pay that. Earnings are at the end of January, and there's a chance the stock will tank, but I feel confident it will come back. If the stock skyrockets, hey, the $535 is all gravy.

NOTE: If I had half a brain, I would have gotten $5.70 for the puts, but I hit 'market' instead of 'limit' order. Remember to ALWAYS hit that limit order check box, type in the price you want, and stay away from the one that says 'market'! In the 20 minutes I was mulling over the trade, the bid went down 35 cents. There goes $35 beans (or a case of Anchor Steam) down the drain.