Dykstra: Going Deep

Regardless of how long you have been investing, there is always more to learn, new products to understand, altered market conditions to consider, and different investment strategies to suit your changing lifestyle.

Obviously, the main goal of this column is to provide information that enables you to increase your wealth, hopefully in a substantial fashion. Rather than merely providing you with "tips," I believe it is in your best interest to understand the thinking behind the tips. Moreover, recognizing the various vehicles available to you as an investor helps to create lucrative opportunities. To that end, I would like to review my strategy for using deep-in-the-money calls.

Of the numerous emails I receive on a daily basis, unequivocally the most frequent request is for me to explain how to capitalize on in-the-money calls. For many, options remain the most misunderstood investment vehicle out there. But the "buy and hold" days are gone! The sooner you all realize that, the more frequently you will be depositing money in your account! In order to be a winning trader, you have to be willing to change with the times.

Before we get to the nitty-gritty, let me say I relish the opportunity to communicate and interact with you through this vehicle. I am humbled by the large volume of complimentary emails that I have received in support of my column.

I also appreciate, albeit in a different way, the negative emails that I have received, questioning my credentials and my picks. I realize that I am still a rookie, who has to earn respect through sustained performance. Again, I would like to thank TheStreet.com for providing me with this opportunity. I look forward to 2006, where I plan to write regularly about my in-the-money calls strategy, beginning with today's overview.