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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: DRBES who wrote (94241)	2/19/2000 9:35:00 AM
From: Process Boy	Read Replies (1) \| Respond to of 1573834

DRBES - <AMAZING!!!! Illustrating, once again, my suspicion that the price gets manipulated on such days; and my conviction, reinforced over the years, that short term trading and especially where it involves options, is an area, of such sophistication that I cannot make money at it. This is not false modesty on my part. I have demonstrated to myself, over the years, that whenever I trade, I lose money, fairly (or unfairly) consistently. It is by buying and buying and buying and holding for the long term, so long as the long term picture continues to look good, that I am able to eek out a buck or two over the years.> I started a little trading activity a few weeks ago for the first time in my "career", and everything's slightly below water. Of course, the one stock (AMGN) I bought as a "buy it and forget it" thing, and is a far more significant percentage of my portfolio (thank goodness) than my trading stock, is up 11.5% in 2 weeks. PB

To: DRBES who wrote (94241)	2/20/2000 1:11:00 AM
From: Joe NYC	Respond to of 1573834

Illustrating, once again, my suspicion that the price gets manipulated on such days One way to play the expiration is if your long call is in the money, you can short the stock and exercise the call. One advantage is that the sum of 2 commissions (of the short and exercise) may be less than selling the option, the spreads tend to be lower on stocks (especially NYSE) and the liquidity of stocks is higher than the liquidity of options. So suppose a lot of people do this at the expiration - that is a lot of people short the stock and exercise. The pressure on the stock price would be down to the nearest option strike price. Anytime you get an uptick, someone shorts more shares. Joe