Investment Enhancing Systems, Inc. – Covered Call Analyzer

$10,0000 Retirement Portfolio Trades for February 2006

Note: In all of our lists and portfolios, we have established a get-out price which we exercise when the stock price drops 15%. If this happens during the month, we will get-out and report the sale of the stock and the buy-back of the calls at the next expiration weekend postings.

	Income*	Cost*	Balance
Cash balance from January:			$6,749
400 shares of INSP purchased in January at $23.03 and sell 4 contracts of IOU BF (Feb$30.00) at $0.30 expiring on 2/18/2006. Not called in February. Price at $23.41 and value $9,364 on 2/17/2006. Sell 4 IOU CE (Mar$25.00) at $0.45. Note that we have lowered the strike price to 25 since it is still above the original purchase and the premium is better for generating income.	$164	Still own shares	$6,749
900 shares of IIJI purchased in January at $10.56 and sell 9 contracts of IQD BV (Feb$12.50) at $0.35 expiring on 2/18/2006. Not called in February. Price at $10.02 and value $9,018 on 2/17/2006. Sell 9 IQD CV (Mar$12.50) at $0.10.	$66	Still own shares	$6,749
400 shares of SINA purchased in January at $22.24 and sell 4 contracts of NOQ BE (Feb$25.00) at $0.60 expiring on 2/18/2006. Not called in February. Price at $22.52 and value $9,008 on 2/17/2006. Sell 4 NOQ CE (Mar$25.00) at $0.30.	$104	Still own shares	$6,749
600 shares of SNDA purchased in January at $15.89 and sell 6 contracts of QKU BW (Feb$17.50) at $0.75 expiring on 2/18/2006. Not called in February. Price at $15.38 and value $9,228 on 2/17/2006. Sell 6 QKU CW (Mar$17.50) at $0.50.	$281	Still own shares	$6,749
700 shares of SGTL purchased in January at $13.50 and sell 7 contracts of UGO BC (Feb$15.00) at $0.45 expiring on 2/18/2006. Exercised get-out price at $11.53 on 2/1/2006 after buying back calls at $0.20. Proceeds $8,051after commission.	($161)		$14,800
400 shares of COGT purchased in January at $23.02 and sell 4 contracts of QAO BE (Feb$25.00) at $0.55 expiring on 2/18/2006. Not called in February. Price at $22.43 and value $8,972 on 2/17/2006. Sell 4 QAO CE (Mar$25.00) at $0.40.	$144	Still own shares	$14,800
500 shares of ALTR purchased in January at $18.53 and sell 5 contracts of LTQ BD (Feb$20.00) at $0.45 expiring on 2/18/2006. Not called in February. Price at $19.92 and value $9,960 on 2/17/2006. Sell 5 LTQ CD (Mar$20.00) at $0.65.	$307	Still own shares	$14,800
400 shares of ISSX purchased in January at $20.79 and sell 4 contracts of ISU BX (Feb$22.50) at $0.30 expiring on 2/18/2006. Not called in February. Called at $22.50 in February. Proceeds $8,980 after commission.			$23,780
700 shares of ATVI purchased in January at $14.02 and sell 7 contracts of AQV BC (Feb$15.00) at $0.35 expiring on 2/18/2006. Not called in February. Sold all shares at $12.18 in February to close out position. Proceeds $8,506 after commission.			$32,286
600 shares of NTY purchased in January at $16.42 and sell 6 contracts of NTY BW (Feb$17.50) at $0.30 expiring on 2/18/2006. Called at $17.50 in February. Proceeds $10,480 after commission.			$42,766
From Conservative "Stocks-to-Consider" for February 18, 2006
Buy 500 shares of BCSI at $19.25 (closing last trade price) and sell 5 contracts of IYU CX (Mar$22.50) at $0.30 (closing bid price) expiring on 3/18/2006.	$133	$9,635	$33,131
Buy 500 shares of VCLK at $17.16 (closing last trade price) and sell 5 contracts of QCS CD (Mar$20.00) at $0.25 (closing bid price) expiring on 3/18/2006.	$108	$8,590	$24,541
Buy 600 shares of TTWO at $15.88 (closing last trade price) and sell 6 contracts of TUO CW (Mar$17.50) at $0.70 (closing bid price) expiring on 3/18/2006.	$401	$9,538	$15,003
Buy 600 shares of CNTF at $15.83 (closing last trade price) and sell 6 contracts of CQF CW (Mar$17.50) at $0.60 (closing bid price) expiring on 3/18/2006.	$341	$9,508	$5,495
Totals for January:	$1,888
Portfolio value at February 17, 2006 is $98,481 after $1,888 taken as income.

*After the effect of all commissions.

The stocks listed above are for illustrative and educational purposes only and should not be construed as an endorsement, recommendation, or solicitation to buy or sell any particular security.

Starting in January 2006, Investment Enhancing Systems, Inc. provided this retirement portfolio using the stocks identified in our Conservative "Stocks-to-Consider" list. We started by investing $100,000 in stock buy/writes identified by the Covered Call Analyzer on expiration weekend for January 2006. Since it is a retirement portfolio, we take the premium income each month as income. We reinvest (keep in the portfolio) stock price appreciation to the strike price. Our objective is to maintain and grow the portfolio while maintaining a monthly income of over $2000. Click on the month below to view details of stocks bought and calls sold and when we held the stock or exercised our get-out price. We anticipate good months and poor months, with a general gain at year end. PATIENCE usually wins.

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