Dennis,
Based on Soup's previous post about large number of contracts bought
at July $35, first, I personally believe sombody with short position
is playing the hedge game here. Second, at rather high close price of
$13/16 for July $35 calls, it seems most of options players believe
it'll break $35 tomorrow or Wednesday prior to the report. Third,
the calls options volume was not big enough to become a resistant
point, which also indicates $35 barrier is rather weak if today's
heavy volume continues and the daily trading volume is likely to
increase as the report draws closer. Fourth, from technical charts,
it seems that there is no technical barrier until around $38-$40.
Fifth, overall technical stocks will be getting higher as we also
are watching tomorrow's Intel report after hours and Compact's
report on Wednesday prior to the opening bell.
All in all, personally I don't feel any significant resistance at $35.
However, if any, it may be caused by other factors, such as overall
tech stocks pullback due to bad reports by Intel or Compaq.
Phil |
