Dell Triggers

Continued Downside Pushes Puts Higher

By Bryan Bottarelli
Thursday, April 27, 2006 9:55 AM EST
Thu, 27 Apr 2006 14:55:00 GMT

Dear Bottarelli Research Member,

With the markets opening weaker, our protective puts are doing their job.

First off, Dell continued to experience weakness right at the open, which meant that your June 30 Puts (DLQ RF) were officially sold this morning for $3.90.

Not only that, but the S&P 500 is very weak this morning, which is pushing your SPY June 129 Puts (SPY RY) up to $1.70, good for a 25.9% gainer.

On the flipside, Foundation Coal can’t run away from the selling pressure, as your

FCL May 50 Calls (FCL EJ) hit our $2.00 stop. I’m still shocked to see the stock react the way it did to its earnings, so like ADM, I’ll be keeping FCL on the watch list for a possible re-entry.

Lock and load,

Sincerely,

Bryan Bottarelli

Bryan Bottarelli
Editor, Bottarelli Research

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