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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: Peter Donohue who wrote (27643)	11/1/1997 7:29:00 PM
From: jluker	Read Replies (1) \| Respond to of 58727

were the puts buys or sells? Selling a put is nuetral to bullish, buying a put could be portfolio protection or bearish.

To: Peter Donohue who wrote (27643)	11/1/1997 8:06:00 PM
From: AlienTech	Respond to of 58727

>>Could anyone comment if this is bullish activity for CSCO. What side (Buy or Sell) of the options is the smart money?? << Not that simple.. Buying out of the money options means its a hedge. Some will buy puts with the money the get from selling calls expect the stock to tank or vice versa. Some of the plays I have seen are the 1000 ASND 2000-65 puts sold when it was 32 so they didnt expect the stock to go any lower but it did, but they would expect it to higher than 65 by expiration. I also saw someone buy a lot of WCOM call options so they expect the stock to be 40+ by dec. Someone bought 5000 JAN 99 WCOM 20's, cost like $18 each so I dont know why they didnt just buy the stock at 33. Then again I saw some big buys on PMCS OCT 30's, PMCS was 25 at expiration and me and who ever it was lost money on that one.. Too bad the guy who sold 10000 jan 35 puts on adbe and bough jan 55 calls closed out his potition when adbe hit 50 but it sure must have scared the bejas out of him when the stock hit 33.. Guess who ever bought all those PSFT 50/55 calls are now sitting pretty :) they got a lot of upgrades and more comming and it was also mentioned as one of the stocks thats going to be in the forefront of any upward move..

To: Peter Donohue who wrote (27643)	11/1/1997 8:20:00 PM
From: Patrick Slevin	Respond to of 58727

CSCO One would really have to look at recent historical activity to sense whether or not such activity was unusual. For data, Larry McMillan tracks such stuff. Check with his service, his office is in Morristown, NJ.