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Strategies & Market Trends : Option Spreads, Credit my Debit -- Ignore unavailable to you. Want to Upgrade?

To: jjs_ynot who wrote (606)	2/21/1999 9:10:00 AM
From: dealmakr	Read Replies (2) \| Respond to of 2317

dave, As a follower of the OSX sector, am also going to be watching options on the OSX index. If you check out the put to call ratio there it is extremely bearish. Doesn't mean the sector won't be hammered more, but its interesting how negative opinions are. Bot a LEAP options position on MRL last week (Jan 00 7 1/2C) for 1 1/4. Target is either a 60% increase on the option or a chance to write the Jan 00 10's at 1 1/4 to initiate a free trade. Sector is not for the faint of heart. Dave

To: jjs_ynot who wrote (606)	2/21/1999 1:46:00 PM
From: KFE	Read Replies (1) \| Respond to of 2317

Dave, I was about to post that I didn't think butterfly credit spreads were possible anymore without legging then noticed this after the close Friday. OEWOR(590) 8- 8 1/4 OEWOS(595) 9 1/4- 9 3/4 OEYOT(600) 10 1/4- 10 3/8 Selling at the bid and buying at the asked this could be executed for 1/8 debit. If you could get the middle on only the shorts then it could be executed for 3/8 credit. A free ride and guaranteed profit without legging! Maybe there is hope. It will be interesting to see if these quotes are adjusted Monday morning. The March 570-580-590 puts have a possibility of butterfly credit also. This would have a 20 pt. profit enhancement range while the spread above would have a 10 pt. range. Ken