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Technology Stocks : America On-Line (AOL) -- Ignore unavailable to you. Want to Upgrade?


To: J Krnjeu who wrote (32339)10/6/1999 10:22:00 PM
From: t2  Read Replies (1) | Respond to of 41369
 
Mr. JK,
I don't really try to analyze the max pain point etc. in options trading. When the market makers sell calls, they could also be protecting their positions by buying the stock as well.

To me it really does not matter. What matters is how much momentum a stock has. Suppose the MM try to push the stock down before expiration. If there is buying interest among investors, they will take that opportunity to buy before expiration if the price is expected to rise afterwards.

I try not do analysis the way it was done in that post. It could be legitimate but i don't follow it. To me it is strictly momentum and strength in the stock.

I believe since AOL is a NYSE, the MM games can't really be played as they can be on the Nasdaq. Recent changes in rules for Nasdaq trading is also making it harder on that exchange.

BTW--I hold mostly November and beyond calls. I do have some Octobers and may add a lot more tomorrow if i "sense" it is a good time to do so. Might do it if we get a late day dip or early in the morning. I am planning the October 125s or 130s---not sure at this point. Need to evaluate tomorrow's trading in yahoo, amzn, aol, and also the large caps like MSFT, INTC, CSCO.

At this point i see October 125s as a pretty good bet but that could change by tomorrow morning.