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To: Paul Winston who wrote (23400)	11/1/1997 4:23:00 AM
From: Zeev Hed	Respond to of 53903

Paul. Better is relative, I do think that CSCO's technical pattern is much better than almost all semis (DS strangely enough still holding, but if my assessment of the market is correct, it will break as well). However, if the current malaise is slightly more than a "normal" 10% correction, then CSCO will correct and if it breaks about 70, then it may start its own downtrend. The question is are you writting out of the money (85 or so) or deep in the money (as low as the 70?) calls. Writting covered call is an excellent strategy for the next few months IMHO. Zeev

To: Paul Winston who wrote (23400)	11/1/1997 11:21:00 AM
From: Stockwizard	Respond to of 53903

Paul: Cisco may drop some after the earnings release. That is why I am thinking there could be a chance of the usual CNBC term 'buy on the rumor, sell on the news'. But Cisco is one of the great growth stories in the stock market. It has outstanding growth, but don't forget that it has a PE of over 50. Therefore, Cisco can continue to climb, but beware of slowing earnings or disappointing surprises or market plunges, both of which has potential to pull back the higher PE stocks. That is why I would rather wait until Cisco drops back somewhat. If it doesn't, than there are many other stocks and I will not have any regrets.