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

To: Jerry Olson who wrote (27817)	11/4/1997 8:51:00 PM
From: ViperChick Secret Agent 006.9	Read Replies (2) \| Respond to of 58727

OJ deja vu - klic this is what happened to me last time you were pounding the table on this stock no i dont have any hoping for a pull back..probably will never happen Index options: Tuesday November 4 6:37 PM EST US OPTIONS FOCUS/Vols creep up despite mild losses CHICAGO, Nov 4 (Reuters) - Implied volatilities for U.S. stock index options crept up, despite mild losses in underlying stock market, on very light order flows, traders said. ''I think there are still a lot of uncertainties,'' said Jesse Stamer of TradeNet, a designated primary market maker at the Chicago Board Options Exchange (CBOE). ''And we will see some pretty wide and wild swings over the next couple of months because there's still a lot of fear in the market.'' He added that broader indices looked toppish today and could be bracing for another sharp down spiral. ''It appears that S&Ps seem to be a little heavier than what they've been over the last couple of days,'' he said. ''I think the pressure is to the downside at this point.'' The CBOE volatility index (.VIX), which reflects implied volatilities for near-month S&P 100 index (.OEX) options, was up 1.55 points at 31.81 at 1230 CST/1830 GMT. The OEX was off 2.91 points at 894.10, while the Dow Jones Industrial Average was down 25.29 at 7649.10. A brokerage firm trader said the market might have taken too much risk premium out of option prices on Monday, when stock prices extended their sharp rebound from late last week. ''They may have hit it a little bit too hard yesterday,'' he said. ''That may account for some of that.'' He added that concerns over October U.S. employment report due out on Friday, on top of the general nervousness, also underpinned volatilities. Traders said order flows in index options were surprisingly light, especially considering hectic trading in the last few weeks. ''I don't know about the rest of the floor (individual options) but OEX and Dow Jones have been really, really quiet,'' the brokerage trader said. ''There was a feeling on the floor yesterday it was a big hangover day (after last week's gyrations),'' he said. ''It's possible that now people are just sitting back, catching their breaths and watching to see what's going to happen.'' He noted that customers he had rung today appeared disinterested in taking fresh positions now. Volume was relatively evenly divided between put and call sides, with puts seeing orders in the larger chunks. By 1230 CST1830 GMT, the busiest OEX option was the November 890 puts, with about 2,900 contracts trading, while none of the calls had traded more than 2,000 contracts. More news for related categories: stock capsules, options, international.