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Technology Stocks : ADI: The SHARCs are circling! -- Ignore unavailable to you. Want to Upgrade?

To: Tom Caruthers who wrote (1188)	2/2/1999 4:02:00 PM
From: Jerome	Read Replies (1) \| Respond to of 2882

Hi Tom, I still feel that the ADI Options (Feb. 30's)are a resonably safe play (in as much as any option can be considered a safe play) In buying an option I look for the following characteristics. l) A company that has beat expections at the last report and is likely to do so again. 2) A stock trading in a narrow range looking for a reason to break out. ADI has been in a very narrow range 29-31 since the end of December. 3) A catalyst to move the stock foreward. In ADI's case both AMAT and Dell report the day before ADI reports. If they report well the entire sector will be up for a few days. 4) Damage control. Unless something totally unforseen happens ADI on Feb l9th (Option Expiration) will be trading between 31 and 35. 5) Today, which is a terribly down day for TECH stocks, is the ideal day to be buying options. 6) Even with these considerations its possible to lose entirely. Good Luck, Jerome (ADPT shares these same characteristics)