Still High On Drugs

• November 2, 2000
• Dave Landry

Eclipsys
Corp.
(
ECLP |
Quote |
Chart |
News |
PowerRating), mentioned in my Stock Outlook and on the  Pullbacks
Off Highs List, may  provide an opportunity for
covered calls. You can buy the stock for 23 7/8 and sell the December 25 calls
for 2 9/16. This represents
approximately a 15% return (more than 130% annualized, based
on 42 days until expiration) should the stock be called
away.

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Major drugs
(
$DRG.X |
Quote |
Chart |
News |
PowerRating) and healthcare
(
$HCX.X |
Quote |
Chart |
News |
PowerRating), mentioned recently, still look poised to rally out of
pullbacks. Continue to look poised for buying opportunities in
calls and call spreads here.

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Consumer
non-durables
(
$CMR.X |
Quote |
Chart |
News |
PowerRating), mentioned recently, are forming a pennant at high
levels and look poised to continue higher. Look for buying opportunities in
calls and call spreads here. 

On the
short side, oil service
(
$OSX.X |
Quote |
Chart |
News |
PowerRating) looks poised to resume its recent
breakdown.

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Best of
luck with your trading on Friday!

P.S. Reminder:
Protective stops on every trade!