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Technology Stocks : Western Digital (WDC) -- Ignore unavailable to you. Want to Upgrade?


To: Thead who wrote (8931)3/12/1998 9:30:00 PM
From: William L. Vu  Read Replies (1) | Respond to of 11057
 
I am not bullish on WDC at all.

Someone has mention earlier that the large volume on the options gives some meaning to the take over rumor. I simply state the fact that the large volume was related to the option expiration rollever.

Here is the news reference.

dljdirect.com



To: Thead who wrote (8931)3/13/1998 8:41:00 AM
From: steve goldman  Respond to of 11057
 
But also understand that for every seller of calls has a buyer of calls. There aretwo sides to every transaction. As well, if the parties did not expect the stocks to move higher, why cover at all? They paid up, paid premium above intrincic value to buy back the calls. Why not let them expire worthless?

Buying calls is buying calls. yOu dont buy an expiring asset if you think it will expire worthless.
Regards,
Steve