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Biotech / Medical : TELK -- Telik, Inc. -- Ignore unavailable to you. Want to Upgrade?

To: BulbaMan who wrote (772)	12/20/2006 9:14:37 PM
From: tuck	Respond to of 887

Yup, that's why you had to buy 'em early, even though the time premium was expensive. I've found that trying to find the optimal purchase time is nearly impossible, as the time premium starts to disappear simply because time passes, the implied volatility creeps up because of the enormity of the impending event. When the prices of calls go up even when the stock is noticeably down, you know you're a little too late, though. In this case, we did not know with much precision when the event was until recently. So I bought my put hedge in late October, or whenever the stock was last around $19. Sadly, the puts are already showing a little profit. On the last CC, they pretty much guided to very late in the quarter for the data release, and we're just about there. They must have to prepare two presentations for H&Q. Hey, any biofreaks going? Cheers, Tuck