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Technology Stocks : Progress Software
PRGS 42.29+0.8%Nov 7 9:30 AM EST

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To: DD™ who wrote (116)1/17/1997 10:33:00 PM
From: Shawn Murphy   of 296
 
Don, when rumors last as long as this one has, it becomes very tricky

to get a good idea of what's really going on.

If this had happened on the original date the rumor first hit the street, it would tell me that it was more speculation than evidence of buyout, because the volume wouldn't support buyout scenario.

However, as time goes buy and rumors just become old news, volumes might not necessarily point you in the right direction, so we are left to look at option activity, and price.

1.) option activity pointed yesterday that the price would go over 20 on speculation, but the deal would not happen before Jan. expiration.
The options point to possible deal if any before the Feb. expiration.

2.) Price ranges without substantial volume data is very difficult to associate with pure speculation vs. evidence of buyout.

On a purely technical stand there is no way of telling, but if you are asking me if this deal will eventually happen, then the answer is yes.

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