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Strategies & Market Trends : Three Amigos Stock Thread -- Ignore unavailable to you. Want to Upgrade?

To: LTK007 who wrote (12043)	12/30/1998 2:43:00 PM
From: BarbaraT	Read Replies (1) \| Respond to of 29382

Downside is the terms of the warrants. They do not all trade the same. Depends on the expiration date and the exercise price, whether they are "in the money" or not. For instance, Stock A - warrants are $1 and stock is $10, but warrants are 1 warrant +12 = 1 share of common. Well, once the stock gets to $13 they should trade 1 for 1. Stock B - same as above, but 2 warrants plus $8 buys 1 common. Well then it would not trade dollar for dollar. Also if the warrants are not in the money and the expiration date is close, they could trade down.

To: LTK007 who wrote (12043)	12/30/1998 2:46:00 PM
From: KZAP	Read Replies (1) \| Respond to of 29382

I know for a particular stock I bought yesterday. I bought common and warrants. They both went up. The common went up about 180% and the warrants went up 1200%! Now that I read my own statement, I think a study of warrants makes good sense! BTW, my point was to be in this post, that the common's are down below my entry point, and the warrants are still in the black. Hummmmm. SANDRA!!! KZAP

To: LTK007 who wrote (12043)	12/31/1998 9:55:00 AM
From: Cary C	Read Replies (1) \| Respond to of 29382

>>but there must be some downside to warrants-<< Max I noticed a couple of god posts regarding warrants. I just wanted to add another very simplistic thought. Normally if the warrants go up faster than the common, they almost always come down faster also. Bigger gains or bigger losses. With IFLY, expiration isn't really an issue since they don't expire until 2001. Along the IFLY line... Tmex is no fool. He may be trying to get the herd to short IFLY for his personal feud or whatever he may have with IFLY but I dn;t think he is stupid enough to short it himself. I'm almost tempted to post the IFLY articles over there for some of the people who can't think for themselves. Cary