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Technology Stocks : C-Cube -- Ignore unavailable to you. Want to Upgrade?

To: Susan Mueller who wrote (45956)	10/8/1999 10:05:00 PM
From: Craig Gordon	Respond to of 50808

NOVEMBER IS GOING TO BE THE KILLER MONTH!!!!!!!!!!!!!!!! First pull your sell order off the table. The bid is 3 5/8 and the ask is 3 7/8. 2 1/2 is the last trade and it is ancient history. If you have 20 or fewer contracts here is what I would suggest you do. First Hold them you have lots of time. Cube will tell you what to do. If Cube gets to 52 and there is a nice premium on top I would suggest you sell them, perhaps at 8 1/2 (let the options market makers make a few bucks on you-don't be a pig). Time frame - after next Friday and before the earnings announcement, close 10/19, Tuesday. That is the window period. Sell by then!!!!!!! (even if it doesn't get that high) IMHO the pros will sell on earnings. I expect Cube to fall from 10/19 through 10/29 give or take 2 days either way. Buy your calls back cheap on or about 10/29. Then hold them. You may find you can replace them for about what they are selling for now. Also you will have no risk because you will have made so much money on the previous NOV 45 call sale. I like playing in options when I have no risk. I sleep better. November is going to be the killer month for Cube. IMHO up at least 10 points from 11/1 to 11/30. Note - Cube has averaged a gain of 6 points in November during the past 4 years. NOVEMBER IS CUBES BEST MONTH OF THE YEAR!!!! (Cube has avg'd 2.69 gain per September over the past 4 years and this Sep it was up 14 points) Most of the move should be in the first half. You should sell your calls at 10 or over. Then price of CUBE will be 55 +/- .50 by the option expiration in November, IMHO. One last and most important thing. Options are dangerous. Cube is an anomaly, at this time. It's volatility is off the charts (78 for Sept) for the market makers, which means that amateurs like you and me can make money for a short time. (while they are off balance) My advice to you is NEVER trade options. 99.9% of all who do (other than the guys in the pits) loose their ASS. Tell me what city you are from so I can tell you what you owe me.