Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Rick Escher who wrote (3698)	3/16/1998 3:20:00 AM
From: pat mudge	Respond to of 18016

Do you expect CrossKeys to move up as a result of things happening at CeBIT? Maybe it'll get discovered? It's hard to say. I did check and they'll have their own booth: globis.de I think the stock needs coverage to make it move. It's a real sleeper. The fundamentals are so strong, I don't lose sleep. I also know they're supplying the management system for the 36190, for the trial stages. Full contract not awarded yet, at least not to my knowledge. I may take some of my NN profits and buy more CKEYF. Tough decision. Later -- Pat

To: Rick Escher who wrote (3698)	3/17/1998 11:13:00 AM
From: Dennis J.	Read Replies (1) \| Respond to of 18016

Rick, suggest you visit the SI thread "Tom Dorsey Q & A", for a good discussion on how to use options safely. They do work. He will guide you to buying in-the-money options with lots of time-value (4-6 months, or more), and using them as a proxy for owning the stock. I believe they are safer than buying on 50% margin. An NN example: Buy Jun 25's @ 6 3/4 (NN at 30-30.5), ride it to 35. Then create a bull spread by selling the Jun 35's for ~3. Ride to expiration and close out. If stock closes at 32 at exp., you get 7 + 3 = 10, but 10 + 3 = 13 if NN is 35 or higher at expiration (15 + 3 -5 =13 if NN at 40). Check your broker, as some don't allow spreading. Options also let you own several positions with limited capital, and the usual 1/4 to 1/2 spread is similar to trading many OTC stocks.