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Biotech / Medical : Ligand (LGND) Breakout! -- Ignore unavailable to you. Want to Upgrade?

To: Flagrante Delictu who wrote (17920)	3/26/1998 1:45:00 PM
From: tonyt	Read Replies (2) \| Respond to of 32384

Looks like that's the response that sellers of LGND are getting today -- spread is 3/8ths

To: Flagrante Delictu who wrote (17920)	3/26/1998 10:09:00 PM
From: SnowShredder	Read Replies (2) \| Respond to of 32384

How does this scenario for todays action sound...They buyer of the puts holds a substantial position in LGND. He or she buys the puts as a just in case & as a gamble. In that he or she shorts some of his or her holding to cause the price to drop below & violate the resistance level, knowing that some TA people will jump ship. Since there was no news this morning this person shorts another portion of there holdings to get the ball rolling south. As the price is dropping they are slowly accumulating more LGND. When LGND hit bottom today he or she covered the shorts and executed the puts. Thus making some serious $$$ and still has some LGND awaiting the NDA announcement. Does this sound plausible or is it flawed (I've never traded options or shorted b4)? Best of Luck, Where'd He Go?