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Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: Paul Dubsky who wrote (1806)	12/23/1997 5:44:00 PM
From: I. N. Vester	Read Replies (1) \| Respond to of 27311

vlnc options interest: Paul, options can be used to as insurance to hedge an investment, or simply a highly leveraged and risky bet on rapid price movement. For puts, buying now would be like closing the barn door after all the cows are long gone. If you wanted to bet AGAINST valence, now sure ain't the right time! I've purchased some of the calls because I'm willing to risk losing 100% against gaining more than 100%, based on my perception that vlnc is now highly oversold and sold off with no real change in the fundamentals. I will be very surprise and also quite a bit poorer if vlnc doesn't get back to $7-9 range in the next three months. At current prices, the open call interest on valence is pretty small as a dollar amount. For that matter, the market cap of the stock itself is getting into the micro range. I suggest you pick up or check your library for one of several books by L. McMillan e.g 'Options as a strategic investment'. His other book is great too. definitly all you ever wanted to know about options can be discovered in either of his books.