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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Sonki who wrote (36571)	10/15/2000 10:47:23 PM
From: Haim R. Branisteanu	Respond to of 64865

Sonki, I rarely go all in one direction. Mostly I write out of the money puts and calls and try to cover the swings. October SUNW option have over 80% IV and depreciate around $60 per pair today, which is more than their appreciation for $2 move in each direction. I anticipate that by Friday SUNW will close somewere around 110 even that the Max point is 105. With earnings so close it is a difficult call. At 100 I wrote puts which I closed friday at 106, way to early. The 62% retracement from 124 is around 113 to 114, which I think will be the top of the present range. We retraced almost 50% Friday. At present I would write 120 calls (SUXKD)if the stock will hit that range and close the Oct 110 puts (SUXVB)I still have open. I am tempted to write more SUXWJ or SUXWS to cover later with SUXWA after earnings SUNW may be a short candidate. Haim