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Strategies & Market Trends : Three Amigos Stock Thread -- Ignore unavailable to you. Want to Upgrade?

To: Sergio H who wrote (425)	2/5/1998 12:25:00 AM
From: Ken W	Respond to of 29382

Sergio, BORL Yes sir, I remember vividly your posting on BORL. Those on the BORL thread (eaves dropping) felt that any where above 8 1/8 on volume would be a good entry point, otherwise it would drift back down to the lower 7's. They know their stock very well. There is a good short position. Due to the volume and the short position. BORL appears a good trade situation to me....which of course you deserve the credit!! Regards Maestro Ken W

To: Sergio H who wrote (425)	2/5/1998 1:43:00 PM
From: Sal D	Read Replies (1) \| Respond to of 29382

Sergio, questions on puts and calls, I just started looking into them. I will start with calls, Ill get to puts at a later date. My basic understanding is a call is the option to purchase a stock at a set price for a set time period (strike price and expiration date I believe are the terms used) The purchase price of the call, is called the premium. So lets say I purchased a July 35 call, this gives me the right to purchase 100 shares at $35 per share anytime before the July expiration date. I could also just sell the call at the current premium price. I use Discover Brokerage so I will reference what I see when I go to options chain on there web site . I only mention this because I do not know if the others look the same. As my example I will use Cable Design Technologies Corp., symbol CDT, for July 1998 calls this is what I see: CDTGE Bid Ask Last Change Volume July 1998 35 Call 6 6 1/2 0 0 0 CDTGC July 1998 35 Call 1 1/8 1 3/8 1 5/16 -1/8 4 My questions are what does the GE and the GC stand for? Why are the bid and ask all about? What its the premium for these? And 4 on the volume? Can you only purchase them for 100 shares at a time, so does the 4 means 4 contracts at 100 per for a total of 400 shares? Stupid questions maybe, but I dont know the answers. P.S. On the preview post the bid, ask, last, change and volume info is not spacing the way it looks to me I dont know how to separate them, Hope you can understand it. Joe