[Member Demetrius Michael] CAT, CPNO, MCO, MER, XLF, QLGC

October 25, 2007

84

Demetrius Michael submits:

(Not too sure if the last one sent, retrying again)

Looks like a different writter this time. Regardless, very grateful Andrew & Rebecca. Thank you.
The info is stale, so we have to look for bigger trends / news on these stocks..

High-res charts are linked BELOW every chart.

CAT

Grew revenues by 8% and converted that into a net income gain of 22%

Lower 2007 profit guidance from the company

Caterpillar reiterated its 2010 goals; Capitalize on key areas outside of the United States

The options bought on this are useless and non-insitutional.

I gave this stock as my trade of the day yesterday (or by time I post this, 2 days ago), but the charts are not stale. Feel free to go to my website about this.

CPNO – It’s up to you if you want to play this. I don’t endorse stocks that trade under 1/2M.

Either way: 20,000 lots traded in the December 40 calls at a price of $0.35
I’m posting the daily chart only, because sharks can easily manipulate stocks like these w/o even touching the option markets.

http://web.mac.com/dem_z/PSW/71025/CPNO.png

MCO – Moody’s

company shrunk year-end guidance

options trading at nearly 8 times the average volume, positions for further downside. (Jan and Front puts, looks like a calender spread)

5yr daily ticks, 1yr daily ticks, 2wk 30M ticks

http://web.mac.com/dem_z/PSW/71025/MCO5yrD.png

http://web.mac.com/dem_z/PSW/71025/MCO1yrD.png

http://web.mac.com/dem_z/PSW/71025/MCO2wk30M.png

MER – Merrill Lynch

reported its first Q loss in 6 years,

write down of $7.9 billion in mortgage related debt

surge in call buying at the November 75 strike Tuesday, those calls shed 70% of their premium today slipping to just 0.15

5yr, 2yr, 2wk

http://web.mac.com/dem_z/PSW/71025/MER5yrD.png

http://web.mac.com/dem_z/PSW/71025/MER2yrD.png

http://web.mac.com/dem_z/PSW/71025/MER2wk30M.png

XLF – Same trade as MER practically.

QLGC

"option volume is nearly 5 times the daily average, and it looks like traders are availing themselves of a 100% increase in premiums by taking profits in the January 15 and 17.50 calls. Calls in the November contract were bought at the more circumspect strikes of 12.50 and 15."