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Technology Stocks : SDRC - Structural Dynamics Research Corp.
SDRC 0.390-2.5%Jan 16 9:30 AM EST

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To: GARRET who wrote (857)9/11/1998 7:16:00 AM
From: Jerry Rush  Read Replies (1) of 946
 
The Feb. Options:

Good gamble.
Jan. 26 was the date of last years earnings.
So the Feb. call buyer is probably counting on that.

It gives the company two more quarterly numbers to get their act together.
And being out-of-the-money, the calls are probably cheap.
( I didn't check )

Only problem with this strategy is that often when call interest is high, the price "magically" moves to make the calls worthless by expiration date -- or nearly so.
Of course, the buyer probably doesn't intend to hold that long, anyway.

Jerry
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