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To: energyplay who wrote (2844)3/17/2005 12:22:37 PM
From: profile_14  Respond to of 13449
 
I also think there is a lot of option expiration positioning going on as stocks move to even strike numbers. Expiration rules mandate a mandatory exercise for anyone outside of a 25 cent range on the strike and 15 cents for market makers. That used to be 75 cents and 50 cents, respectively, not many months ago. That caused too many games to be played as many who thought were exercised ended up not being exercised with money on the table.



To: energyplay who wrote (2844)3/17/2005 12:57:07 PM
From: Ken Adams  Read Replies (2) | Respond to of 13449
 
AAPL is some 30 cents of its HOD, but still up well over 3% so far today. This small pullback is logical after the huge ramp so far this morning. I still have a long road to profit on my April calls, but will hold for this kind of action.

43 would represent a 61.8% recovery of the recent slide in price, and I would expect some resistance there. But, it sure blew right through the 50% level without a blink, so who knows?