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Technology Stocks : Western Digital (WDC) -- Ignore unavailable to you. Want to Upgrade?

To: Joshua Schindler who wrote (8115)	12/8/1997 4:02:00 PM
From: still learning	Respond to of 11057

Selling APM is a good move. Buying WDC is not right now, IMHO. I would buy QNTM, which is the only one of the big 3 showing earningsstrength, and even that is iffy right now. If it were my money I would not buy in the storage sector. In early 1998 we will begin to see more strength, and while you may lose some ground waiting for January, you may also find a better entry point along the way.

To: Joshua Schindler who wrote (8115)	12/8/1997 8:55:00 PM
From: Craig Freeman	Respond to of 11057

Joshua, IMHO owning APM is a bet on whether the company can get their MR act together (or sell out at a good price) plus a relatively smaller bet on the DD sector. Owning WDC is a major bet on the DD sector and a relatively smaller bet on how well WDC can maintain market share. These two are not equal. If you still like APM, you might want to sell APM and buy an APM call, with the intent of reversing the two trades 31 days later. If you wait for a time when the premium is reasonable and offer less than the option asking price, you may be able to get in and out at a good price. Reminder ... short-term losers save more taxes than long-term losers (locking in a tax loss before 18 months expires is worth an extra 8%). And, the difference between the call and share prices will be cash-in-hand that could be earning interest too. Craig PS A short time back, I sold all of my WDC shares and bought calls for the reasons explained above.