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Biotech / Medical : PFE (Pfizer) How high will it go? -- Ignore unavailable to you. Want to Upgrade?

To: Dex in TX who wrote (894)	4/1/1998 9:39:00 PM
From: Stockjet	Respond to of 9523

Dex in Tex: The market makers are expected to manipulate the stock price to close on expiration day below the strike price that will cause the largest number of calls to expire worthless. Yesterday, the April 100s had by far the largest open interest and the stock price was below 100, so the 100s became the targets of the MMs. I didn't save yesterday's open interest figures, but it seems to me that there was a dramatic increase in the open interest in the April 95s and 90s. I agree with Miichael Shure that the MMs don't have the power to drive the price down to 90, but, absent more good news, they may have a shot at 95. I, personally, believe that the MMs power is limited to 2, maybe 3 points absent good news or a general rally in the market. In the current situation, I believe today's pause was mild profit taking. The optimism remains and the 40 degree up slope on the chart will resume tomorrow. I think we'll have the first reports of rejuvenation from prescription Viagra before April options expire. I believe the 100s will be well in the money and the MMs will have to set their sights higher.