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Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?


To: M. Marquette who wrote (3017)2/14/1998 9:20:00 PM
From: jeff nightbyrd  Read Replies (2) | Respond to of 18691
 
Is this the time to buy puts on AOL or after the stock splits? Typically stock splits attract lots of sucker buying on the old "I'm getting two for one" principle.

But at these prices I couldn't help shorting AOL. Sometime investors will come to their senses and question whether AOL will be able to continue growing at an exponential rate.

The problem is: maybe that's still some months away and I've shorted too soon again?

Any thoughts from some more experienced posters?

jeff



To: M. Marquette who wrote (3017)2/14/1998 9:41:00 PM
From: Pancho Villa  Read Replies (4) | Respond to of 18691
 
>>AOL--Short or in the money PUTS?<<

IMO squeezes are a temporary thing more important is the decision on whether the fundamentals justify shorting. No one can tell if the squeeze we saw ;ast week will continue. PUTS may be the way to go, the time limitation must be taken into to consideration as timing the stock moves (i.e., when it will start falling is very difficult to say). Taking a contrarian approach so many people may be expecting AOL to fall that it may stay out there for a while.

Pancho