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Technology Stocks : 3Com Corporation (COMS)
COMS 0.001300.0%Nov 7 11:47 AM EST

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To: joe who wrote (15223)4/16/1998 11:11:00 AM
From: Mang Cheng  Read Replies (1) of 45548
 
joe, good observation. Somebody should check the option activity all the time and report to the thread if they see any unusual vol. happening like over 1000 contracts traded on particular expirary.

The fact that May 35 (367 contracts) is active and May 30 puts (0 contracts) is inactive - can be intepreted in both ways.

May 35 calls are active may means people are shorting the stock and buying the calls as insurance.

May 30 puts are inactive means people are long on the stock and see no needs to buy the puts as insurance.

People are plucking down money to buy April 32.5 for two days to expire. I don't think they are bearish. Even people closing their positions should be bullish or else they would just let their written contracts expired.

Overall, I think the option activity is quite bullish.

Mang
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