Diagnosing Postfix/Dovecot+SSL with Telnet

[CopalFreak]

I want to use SSL with plain auth.
Am I supposed to be seeing something OTHER than "250-STARTTLS" ?
(should it say "250- AUTH PLAIN" also ? )

>>telnet mail.mydomain.com 587
Trying xx.xx.xx.xx...
Connected to mail.mydomain.com.
Escape character is '^]'.
220 mail.mydomain.com ESMTP mail.mydomain.com (Linux/GNU)

>>ehlo MyEmail@mydomain.com
250-mail.mydomain.com
250-PIPELINING
250-SIZE 104857600
250-ETRN
250-STARTTLS
250-ENHANCEDSTATUSCODES
250-8BITMIME
250 DSN

>>AUTH LOGIN
438 4.7.0 Encryption required for requested authentication mechanism

>>AUTH LOGIN PLAIN
438 4.7.0 Encryption required for requested authentication mechanism