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To: patron_anejo_por_favor who wrote (165185)	5/10/2002 11:04:20 PM
From: mishedlo	Read Replies (2) \| Respond to of 436258

Patron I have not tracked the S&P or NYSE stocks to any degree. I will tell you this: For 5 straight months QQQ INTC CSCO MSFT all have hit Max Pain every month, month in month out sometime during expiry week. That is my definition of a Max Pain success. They do not always close at max pain, and quite often Wed of Expiry week has been a reversal day of sorts. I figure with all the time premium sucked out by Wed, it is easy for the powers that be to hedge and take the market a different direction. Those expecting horsesh*t issues like EMLX to track max pain when EMLX hardly ever has options on it to any degree, have a big lesson to learn. That is the mistake people make with Max Pain. I have also posted many times recently that this month could miss. The reason being an extremely light number of options this month relative to any other month this year. MSFT only has 30K at a couple strikes as opposed to 100K as it has had during other months. QQQ is light as well. Look at QQQ and you will see 100K options at several strikes but only on the CALL side this month. WARNING BULLs WARNING. Next month the reverse. Mammoth numbers of June QQQ PUTs are building up. Warning Bears warning. I expect a June rally preceded by a May massacre. LUC dismisses max pain but the fact remains, it has been bang on for 5 months in a row on the KEY (heavily optioned issues). The rally on Wednesday took us EXACTLY to max pain on the QQQ and MSFT and overshot CSCO by 1 point and failed INTC by 1 point. Perhaps on BS AMAT news next week there is another attempt at a rally, but perhaps, with relatively little time premium left, "da boys" managed to pull out a last ditch effort to EXACTLY max pain, short to hedge (and save their ass against the buildup of put profits) and will just let the damn thing fall. M