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Technology Stocks : FORE Inc. -- Ignore unavailable to you. Want to Upgrade?

To: General Crude who wrote (11352)	3/29/1999 7:28:00 PM
From: WTSherman	Read Replies (2) \| Respond to of 12559

I think an option straddle might make sense with FORE. The May17.5's are both trading around $2.5. If a deal goes through, the takeout should be much higher than $20(so the puts are covered), if it doesn't go through by May it will probably sink down towards$13-14 again and you get enough back to cover the calls. The downside is if it stays where it is, though, I think that's unlikely. Today's action seemed very predictable, given that there were probably quite a few traders who bought in on Friday hoping for a weekend takeover. When it didn't happen they decided to get out. If there is a real suitor and its the Swede's, I wouldn't expect much to happen for another couple of weeks. They've been pretty busy on other fronts recently and I'm sure that top management was preoccupied with that settlement.