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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: goin HOG wild who wrote (29631)	9/16/1999 6:10:00 PM
From: t2	Read Replies (2) \| Respond to of 74651

OU812, Any idea of reliable this max pain analysis is---just wondering if there has been a study. The chart says 90 for MSFT but get a figure of about 75 for Intel which is very surprising. I might actually use this as a reason to buy October calls on Intel, that is, there may be enough playing with the stock price of Intel to keep it as low as possible(already bought some October 85s @ 2 5/8). I am not convinced of this analysis. Just wondering what happens when the max pain point is far away from the current price. I am not a believer of this analysis but i plan to keep track of it in the future-----It is illegal to manipulate the stock price but i guess not all the big players trading the stock will abide by the rules. Also realizing that it might be a good idea to take a course on options trading----on second thought--maybe not. Probably have better luck using instinct as a reason to take a position instead of some technical analysis. One cannot calculate a position and expect to make much money simply because this information is also well known to the experienced options traders and reflected in current prices. If this is accepted as reasonable, then the Max-pain analysis goes out the window as well. A few dollars out of the money along with max-pain should lead lead to effects on the pricing of the options --of course assuming max-pain is a good predictor (however, i don't believe that this is happening).