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Biotech / Medical : Ligand (LGND) Breakout! -- Ignore unavailable to you. Want to Upgrade?

To: tonyt who wrote (14214)	2/4/1998 1:24:00 PM
From: Flagrante Delictu	Read Replies (1) \| Respond to of 32384

tonyt, Out of courtesy to you, up to now, I haven't commented on your charge of a 20% drop in LGNDW yesterday. But you persist in referring to that, while failing to report that LGNDW is up 20% today. So, therefore, it is my unhappy duty to reveal to you that a drop from 6 to 5 in one day is not a 20% drop. A drop from 6 to 4.80 is a @20% drop, whereas a rise from 5 to 6 is a 20% rise. I would not have chosen to point this out to you had you not persisted in the one sided goading of our brethren. Bernie.

To: tonyt who wrote (14214)	2/4/1998 1:38:00 PM
From: Machaon	Read Replies (2) \| Respond to of 32384

<< The warrants are clearly not a good investment choice as they can easily move up and down 20% in a day for no apparent reason. >> This was your original statement, no? << I've yet to see an option with an exp greater than 30 days drop 20% while the underlying secutity rose 1/8th. >> And..... this was your response to my helpful recommendation that you might want to stay away from options, because of their volatility. You specifically said that it was "clearly" not a good investment due to it's volatility. I've seen options move much more than 20% in one hour! Now, you are coming back and trying to modify your original recommendation, I think. I am not sure. Are you saying that LGNDW is not a good investment because, during one day of trading, it dropped 20% and LGND went up 1/8th? Does that make it a bad investment, regardless of the fundamentals? All I am trying to do now is clarify your advice, since some investors might actually give some weight to it. If you actually like options, despite their volatility, so be it. Also, you had earlier implied that LGND did not do very well in the first half of 1996 and 1997, although LGND rallied from $11 to $20 during the March-May 1996 period and from $9 to $14 1/2 during the May-June 1997 periods. It confuses me. Henry offers a lot of detail, facts and interpretations to his posts. Perhaps you could learn something from him and put a little more substance in your posts. << Please show me just one example of this -- just one. >> I might decide to fulfill this request sometime in the future. Hmmm!? When's your birthday? Regards, Bob

To: tonyt who wrote (14214)	2/4/1998 2:54:00 PM
From: Flagrante Delictu	Respond to of 32384

tonyt, << I've yet to see an option with an exp. greater than 30 days drop 20% while the underlying security rose one eighth. Please show me just one example of this. Without going to the trouble of showing one specific example out of what are probably too numerous to even contemplate, please let me explain how easily that can be accomplished. Options trade on the basis of bids & offers made by market makers. If an option is quoted an eighth to a quarter & it closes today on the offer & tomorrow on the bid, even though the underlying stock may be up well over an eighth tomorrow, the drop from the close of a quarter to a close of an eighth the next day will be a 50% drop. These things happen innumerable times. Bernie.