Thursday, May 17, 2007

Interesting developments in Genentech (DNA)

Genentech recently broke through some important support levels. I picked up some put options to offset my previously purchased call options. So basically I'm now long volatility (which looks good right now) and stand to gain if there are major moves either up or down.

The downside looks like the path of least resistance, with no support until $70 and $58.

I'll post more on the fundamental story with DNA tomorrow.

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