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To: Voltaire who wrote (7835)3/16/2000 6:58:00 PM
From: Jimbo  Read Replies (1) | Respond to of 35685
 
V - how/where can you get a calculation of what the fair value is for an option that has not traded for a while ?



To: Voltaire who wrote (7835)3/16/2000 7:04:00 PM
From: Jim Willie CB  Respond to of 35685
 
I believe as options vary in value daily, zero margin consequences

been there many times
options can be purchased with margin money
but once purchased, impact to margin is done and over
whatever you paid for the margined option, that amount adds to margin balance
you essentially borrowed margin cash to purchase option

but afterwards, whether the option rises huge, or declines to nothing,
the change has no consequence on margin percent and maintainence levels for the account

they split shares to the margin ledger
they split options to the cash ledger
it is like you have two separate stock accounts

I am 95% of this separation and margin implication
/ Jim



To: Voltaire who wrote (7835)3/16/2000 8:13:00 PM
From: Jim Willie CB  Read Replies (1) | Respond to of 35685
 
snapshot TA on QCOM, CREE, ELON:

QCOM is showing a minor stochastic crossover now
(it is closing toward highs on daily basis)
also, seeing minor bullish divergence now
(depth of recent decline was short)
looking good going into next week
lastly, showing excellent relative strenght
(up 10 since last friday noon, despite Naz pain)
Moving Avgs are aligned nicely, for two weeks now
solid base for next moves

CREE is showing poor daily stochastics
it closed today 14 pts off lows, but 17 pts off high
its relative strenk indicator is at 50 level
last few times it got to 50, it reversed northward
support was 160 then 140
slammed thru 160, seeing support bounce off it yday only
saw support bounce off 140 today, with better close than yday
50day Moving Avg is at 140, so should be strong support there
but shorterm MA and nearterm MA just crossed over (bad sign)
this downmove was with increased volume (bad sign generally)
volume was so great that one could make the argument of climax selloff

ELON seems to have found support at 95, which is old ceiling
today saw a retest of 95 support
could be a technical springboard if holds and techs march
relative strenk is steadily IMPROVING
breakout is INTACT

/ Jim