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Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: signist who wrote (7040)	2/13/1998 1:57:00 PM
From: SpecialK	Respond to of 42804

I look at the open interest on puts and calls to see where there is a balance, also when large amounts of options traded, if they are at the bid or ask, meaning is someone selling covered calls. For Feb options, there are 765 open interest on Feb 25, these are in the money and worth about $3 w/ the stock at 28, That open interest is equivalent to 76K shares, today's volume but not very high normally to effect the stock price. If volume remains low next week and the market trends lower early in the week, no one will be stepping into a position in MRVC ahead of earnings, it could be possible that we close at 25, so those shareholders with 76K shares who wrote calls will keep that money and hold the stock. The other open interest is not high, not meaningful. The next major open interest is at April 30s with about 200K shares. Heavy open interest on puts generally can be used as a floor providing support, as heavy open interest on calls can be used as a ceiling. In MRVC case, the calls are in the money, so they may not effect the stock performance. IMHO, Ketan Others with thoughts on options or general short term direction ahead of earnings and after, please share your thoughts.

To: signist who wrote (7040)	2/13/1998 2:52:00 PM
From: SJS	Read Replies (1) \| Respond to of 42804

This table just shows all the options on MRVC, both put and calls. the table has the option, it's strike price and the due date. It's doesn't impart any "big picture" for the stock, just as a page of all the indexes (like DOW, S&P) wouldn't really impart any big picture about the market. the only thing you might glean is that IF the stock were up some amount (like .75 or greater), then most all the CALLS shown would be up to. The puts shown, in this case, would be down. If the stock were down, the puts would be up, and the calls would be down. that's about it.