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.

Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?

To: virgil vancleave who wrote (8022)	8/1/1998 12:07:00 PM
From: Herm	Respond to of 14162

Hello Virgil, I looked at ANIK. I noticed it just came from the small caps into the NASDAQ exchange. Technically, the charting looks straight forward and predictable. Except for that RSI leveled off above 50 and the stock gapped upwards, tagged upper BB and then corrected, bounced off lower BB and now is testing the recent 52-week high! Watch you chips good buddy! Rarely, does a stock make it past the 52-week high on the first attempt. And ANIK is kinda rich in the P/E arena. Also, open interest in the options is a bit anemic. There may not be enough action to bail out or sell you CHEAP PUTs. So, you may need to short the (when it peaks - price tags uppper BB and RSI @ 70+) ANIK stock itself for downside protection. Check out the short interest which may increase come the August blowoff! bigcharts.com SHORT INTEREST Ticker Month Shares Short Avg Daily Volume Ratio* ANIK 07/98 114,910 105,792 1.09 days 06/98 55,546 58,719 0.95 days 05/98 32,189 94,691 0.34 days 04/98 12,611 63,596 0.20 days 03/98 159,311 110,813 1.44 days 02/98 142,781 40,481 3.53 days Volatility 20 Day: 82.1% Half Year: 68.2% P/E VALUE NASDAQ: (ANIK : $14 5/16) $47 million Market Cap at July 31, 1998 Trades at a 25% Premium PE Multiple of 40.9 X, vs. the 32.7 X average multiple at which the Biomedics SubIndustry is priced.