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by 9/26/2000 12:32 PM
Stocks quoted in this article:
Watson Pharmaceuticals (WPI 62-5/8) received the final U.S. Food and Drug Administration approval for the generic version of the Ziac hypertension drug this morning. In response to this news, the stock moved more than one point higher, but it is now only fractionally in the black.

If the shares are able to finish on positive ground, it will represent their ninth consecutive winning trading day. Since its short-term intraday bottom on September 13, the security has advanced by just over 30 percent, climbing back above both its 10-day and 20-day moving averages. WPI remains above all of its key intermediate-term and long-term trendlines.

Not surprisingly, Schaeffer's put/call open interest ratio (SOIR) on WPI has decreased with its recent upward momentum. On September 13, the equity's SOIR was 1.89, which indicated that total put open interest exceeded total call open interest by 89 percent for options expiring within the next three months. The shares' SOIR is now 0.75. Please visit Schaeffer's Daily Sentiment for additional information about SOIR.


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by 9/26/2000 12:26 PM
Stocks quoted in this article:
Emmis Communications (EMMS 22) has radio and television broadcasting and magazine publishing operations. EMMS is on the Nasdaq new lows list in early afternoon trading, as the equity has retreated by almost two points, or more than seven percent. The shares are now sitting at levels not seen since mid-May 1999.

The stock has lost over 65 percent of its value since its all-time highs from late December. EMMS is now perched beneath all of its significant moving averages, as its 20-month moving average is offering staunch overhead resistance this month.

Despite the security's technical weakness, it continues to be a favorite on the Street. Information from Zacks Online indicates that all 12 analysts now covering this laggard rate it as a "buy" or better. Any downgrades might add extra downside pressure to this underperformer over the short term.

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by 9/26/2000 11:33 AM
Stocks quoted in this article:
The AMEX Oil Index (XOI 516.08) stepped back by more than seven points yesterday to log its worst intraday level since August 14. It also marked the index's fifth straight losing session. The XOI's 10-day and 20-day moving averages recently completed a bearish crossover, a further indication of this recent weakness. In today's trading, though, the XOI appears poised to snap this losing streak, as it is ahead by over seven points, or more than one percent.

Top index performers in late-morning action include Sunoco (SUN 26-1/16), up 3.7 percent; Occidental Petroleum (OXY 22), up 2.9 percent; Kerr-McGee (KMG 63-3/4), up 2.6 percent; Amerada Hess (AHC 65-1/2), up 2.4 percent; USX-Marathon Group (MRO 27-1/8), up 2.1 percent; and Phillips Petroleum (P 62-7/16), up two percent.


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by 9/26/2000 9:43 AM
Stocks quoted in this article:
Guess? (GES 19-13/16) markets upscale casual apparel for men, women, and children. The company peddles its wares through a worldwide network of over 3,000 retailers. Additionally, GES owns 140 stores of its own within the United States. For the past three months, GES had been attempting to inch higher, trending in an oscillating pattern of higher lows and higher highs. Since the beginning of September, however, the stock has been settling slightly lower and has now breached its 10-day and 20-day moving averages. Additionally, these short-term trendlines just completed a bearish crossover, a sign of technical weakness.

This morning, GES shares are poised to open considerably lower. Presently halted, the stock is indicated with a bid price of 13 and an ask price of 16, a 34- and 19-percent decline from last night's close, respectively. This negative price action was spurred by the company's announcement that third-quarter earnings will likely weigh in at 35 to 38 cents per share. The Street had expected the firm to earn 44 cents per share. GES cited a difficult retail environment and slow same-store sales for the third quarter as the reasons behind this disappointment. Additionally, GES officials issued a warning for the fourth quarter. GES is due to report its quarterly earnings on or around Halloween. <
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by 9/26/2000 9:33 AM
Stocks quoted in this article:
FuelCell Energy (FCEL 89) is a developer of fuel cell power plants. This morning, the security was rated a "buy" in new coverage by an analyst at Lehman Brothers Holdings. The company also recently said it will undergo a two-for-one stock split.

From its August 3 intraday bottom through yesterday's close, the equity has surged ahead by 163 percent, using its ascending 10-day moving average for near-perfect support. The shares are now perched just a chip shot away from their all-time intraday best from two weeks ago. FCEL gapped 5-3/4 points higher at the open and is now ahead by almost six points, or just over seven percent.

Short-interest players apparently feel that FCEL's winning ways could soon be over. From mid-July to mid-August, short interest on this outperformer increased by 28.3 percent during a time in which the shares appreciated by nearly four percent. As contrarians, we are encouraged by this skeptical sentiment toward this leader.

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