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Technology Stocks : Data Dimensions

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To: Warren Gates who wrote (565)4/9/1997 9:02:00 PM
From: TA Trader   of 4571
 
Warren,
I think a lot of your option analysis reminds me of an old Dusty Springfield song with the line "Wishing and Hoping, Thinking and Praying". We all know that you are long the April 20 calls and short the stock and that because of that "you can sleep at night". If that's your investment style, so be it. I challenge you though to prove that the MM's are really doing anything at this time to "Peg" DDIM at or near a strike price. In addition, your analysis that calls are being bought and the stock being shorted is also subject to question as there are numerous "synthetic" positions being taken that negate your analysis. Let's face it, the stock has moved from a price adjusted 8 in December to 26+ this week. It needs to pull back i.e. consolidate which it is now doing. The support level to watch is 19 1/2-20 where the 50 MA will most likely be next week when your calls expire and you are still short your stock. I'm currently short with a synthetic put call position so I don't believe that I'm the only one doing this. On another matter, DDIM will report earnings the week of April 28th so the April option expiration will not be affected. I'll also make a prediction that DDIM will report a major ARDES 2K announcement with UNISYS amounting to a multi-million dollar contract within one month. I can only hope that both you and I will have covered by that time. I know I will have.
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