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To: mishedlo who wrote (8670)	1/9/2001 9:26:10 AM
From: Sig	Respond to of 13572

In trying to figure out what has been going on in the last two years, I lean toward the idea that institutions have accumulated more than enough shares to control the markets. Particularily companies that have split 7 to 9 times, like emc,csco,dell,intc etc. They will now make their money trading, not accumulating. I don't think it was the public that has asked for options to be set up for almost every stock today. This could be part of the reason good companies have gone down along with the bad-institutions don't need more stock. If true, I would expect it has been mostly institutions selling CC's and would like to keep the price down at expiry. I wouldn't know about the puts. Sig

To: mishedlo who wrote (8670)	1/9/2001 11:26:37 AM
From: Walkingshadow	Respond to of 13572

In general, in the "Joe Public" vs. "Joe Professional" game, the outcome is not in question. The only question is how badly Joe Public will lose. The game would stop tomorrow were it otherwise. JMVHO............. WS

To: mishedlo who wrote (8670)	1/9/2001 11:30:21 PM
From: Walkingshadow	Read Replies (1) \| Respond to of 13572

<< If "Joe public" has the calls and institutions the puts or vice versa look out. >> This is a problem, you're right. So, it pays to know something about the volume of the trades, since this will tell you who is behind them. But even if the institutions have all the puts, don't forget that somebody sold them the contracts, and that somebody is not Joe Retail. In general, I think it is important to look at the clustering of contracts. Huge open interest clustered at certain strikes is not the work of Joe Retail. If you can get a handle on the trades, and how big they are, and whether they execute at the bid or the ask, that will tell you something also. So, as you suggest, this is not as simple as it would appear at first glance. Still, I think you can get at least a broadbrush picture by looking at open interest clusters, put/call ratios, Max Pain points, and so forth. That's all I'm really trying to do, is get some information, and try to see how that fits within the context of other information, such as fundamentals, technicals, charts (e.g., trendlines, formations, support/resistance), candlesticks, and sentiment. In other words, I'm just trying to look at as many trees as I can to try to figure out just what kind of forest I'm looking at. JMVHO........ WS