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Strategies & Market Trends : Guidance and Visibility -- Ignore unavailable to you. Want to Upgrade?

To: SusieQ1065 who wrote (64849)	8/4/2002 2:38:39 PM
From: SusieQ1065	Respond to of 208838

Play of the Day - Put, Sunday, 08/04/2002 -------------------------------------------------------------------------------- BBOX - Black Box Corporation $33.20 (-3.72 last week) Company Summary: As a technical services company, Black Box Corp. designs, builds and maintains network infrastructure systems. The Black Box team serves more than 150,000 clients in 132 countries, providing technical services on the phone, on site and online. Through its catalogs and Website, the company offers more than 90,000 infrastructure and networking products, and designs and builds more than 650,000 custom products each year Why We Like It: Renewed rumors about accounting problems at CSCO sent the Networking sector (NWX.X) tumbling more than 2% again on Friday, wiping out all the gains from earlier in the week. That was enough to derail the attempted bottom fishing in shares of BBOX, sending the stock down to a fresh multi-year closing low just above $33. With the tight trading range in the stock over the past few days, the logical course of action is to tighten the noose to prevent giving back our gains. Intraday resistance has been building near the $34.75 level, so we are lowering our stop to $35. The markets may try to bounce on Monday, but a failed rally below the $35 level can be used to initiate new positions in anticipation of a continued decline down towards our $30 price target. Alternatively, use a breakdown under the $33 level to enter the play, so long as the NWX index continues to be the playground for the bears. * August contracts expire in 2 weeks * BUY PUT AUG-35 QBX-TG OI=642 at $3.40 SL=1.75 BUY PUT SEP-35*QBX-UG OI=110 at $4.90 SL=3.00 Average Daily Volume = 485 K