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Paul Foster
Chicago U.S.A. - http://

Paul Foster, a knowledgeable researcher has 21-years of professional experience in the capital markets, investments, trading, corporate finance, arbitrage, options and mergers and acquisitions.

Hershey (NYSE: HSY) closed at $40.23 Wednesday. HSY call volume was heavy on August 6, with 21,092 contracts trading. HSY August option implied volatility is at 56, September at 44; above its 26-week average of 30 according to Track Data, suggesting larger price movement.

Rambus (NASDAQ: RMBS) closed at $15.34 Wednesday. RMBS is the frequent subject of patent infringement & anti-trust claim issues. Hynix Semiconductor, Samsung Electronics and Micron Tech (NYSE-MU) have had patent infringement suits with RMBS. RMBS September option implied volatility of 103 is above its 6-month average of 74 according to Track Data, suggesting larger price movement.

Financial Select Sector-XLF overall volatility at 39; 26-week average is 38

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Volatility Index S&P 500 Options-VIX at 21.13; 10-day moving average is 22.52.

Boeing (NYSE: BA) is recently up 20 cents to $64.80. Goldman Sachs says "Removing from the conviction sell list on crude pullback." BA September option implied volatility of 33 is near its 26-week average according to Track Data, suggesting non-directional price fluctuations.

American International (NYSE: AIG) is scheduled to report Q3 EPS after the market close today. Societe Generale started AIG at Sell. AIG August option implied volatility is at 99, September is at 69; above its 26-week average of 51 according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Chesapeake Energy (NYSE: CHK) closed at $45.25 Monday. Natural Gas futures are recently down 2.25% to $8.53 according to Bloomberg. BMO Capital Markets has a $68 target price on CHK. CHK September option implied volatility of 61 is above its 26-week average of 42 according to Track Data, suggesting larger price movement.

SPDR Gold Trust (NYSE: GLD), a commodity-based exchange traded security, closed at $86.84. Gold is recently trading down 1.70% to $892.50. GLD option volume was heavy on August 4, 2008 with 106,112 contracts trading. GLD over all option implied volatility of 25 is near its 9-week average according to Track Data, suggesting non-directional price movement.

Companhia Vale do Rio Doce (NYSE: RIO) will report Q2 EPS on August 6. RIO, a Brazilian mineral company, closed at $26.36. Goldman has a Buy rating on RIO. RIO option volume was heavy on August 4, 2008, with 237,545 contracts trading. RIO August option implied volatility is at 66, September is at 56; above its 26-week average of 49 according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

SINA Corp (NASDAQ: SINA), a Chinese online media company, is scheduled to report Q2 EPS on August 6. SINA August option implied volatility is at 78; September is at 55. SINA average option implied volatility over the last 26-weeks is 58 according to Track Data, suggesting larger August price movement.

The9 (NASDAQ: NCTY), an online game operator headquartered in Shanghai, closed at $22.73. NCTY is scheduled to report Q2 EPS on August 7. NCTY August option implied volatility is at 101, September at 81; above its 26-week average of 69, suggesting larger price movement.

NetEase (NASDAQ: NTES), an interactive online community in China, is scheduled to report Q2 EPS after the market close on August 13. NTES August option implied volatility of 70 is above its 26-week average of 45, suggesting larger price fluctuations.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Biogen (NASDAQ: BIIB) was trading at $54.71 in pre-open trading, below its close of $69.76 Thursda. BIIB and Elan (NYSE: ELN) announced their multiple sclerosis treatment Tysabri, was linked to brain infection. BIIB August option implied volatility was at 42, September at 39; near its 26-week average of 39 according to Track Data, suggesting non-directional price movement.

ELN was trading at $10.78 in pre-open trading, below its close of $20.05. ELN August option implied volatility was at 65, October at 58; below its 26-week average of 70, suggesting decreasing price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Crocs (NASDAQ: CROX) is trading at $5.06 late this morning, well below its close of $8.94. CROX lowered Q2 and 2008 financial guidance. Robert Baird Co lowered its rating to Neutral from Outperform. CROX over all option implied volatility of 91 is above its 26-week average of 84 according to Track Data, suggesting larger price movement.

Mechel Steel (NYSE: MTL) closed at $22.84, and is trading up this morning at $26.40. MTL sold off 38% on July 24 after Russian Prime Minister Vladimir Putin ordered antitrust authorities to investigate selling prices at steel and coal group MTL. MTL August option implied volatility is at 162, October is at 105, above its 26-week average of 66 according to Track Data, suggesting larger price fluctuations.

Elan Corp (NYSE: ELN) closed at $32.34 and, as of 11:15 Friday morning, is trading at $33.43. ELN's & WYE's Bapineuzumab (Alzheimer's treatment) Phase 2 trial results will be presented at the International Conference on Alzheimer's Disease on July 29. ELN August option implied volatility is at 97, October is at 70; above its 26-week average of 69 according to Track Data, suggesting larger price fluctuations.

Options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Washington Mutual (NYSE:WM) is recently down 77c to $3.87. WM entered into a definite agreement to raise $7 billion through direct sale of securities to TPG Capital and other investors on April 8. WM call option volume of 26,995 contracts compares to put volume of 18,137 contracts. WM August option implied volatility of 177 is above its 26-week average of 91 according to Track Data, suggesting turbulent movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Qualcomm (NASDAQ: QCOM) is recently up $8.29 to $53.12. QCOM raised its 2008 revenue & EPS outlook. QCOM and Nokia (NYSE: NOK) said they agreed to end their legal disagreements. QCOM call option volume of 99,545 contracts compares to put volume of 48,346 contracts. QCOM August option implied volatility of 39 is near its 26-week average according to Track Data, suggesting non-directional price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Lehman (NYSE: LEH) closed at $21.10 Wednesday. LEH August option implied volatility of 114 is above its 26-week average of 64 according to Track Data, suggesting larger price movement.

Merrill Lynch (NYSE: MER) closed at $33.81 Wednesday. MER August option implied volatility is at 66; January is at 52. MER average option implied volatility over the last 26-weeks is 55 according to Track Data, suggesting decreasing price movement in the next four-months.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Juniper (NASDAQ: JNPR) is recently up 15 cents to $23.04 in pre-open trading.

JNPR named Microsoft (NASDAQ: MSFT) veteran Kevin Johnson CEO. JNPR is scheduled to report Q1 EPS after the market close tonight. RBC Capital Markets has a $30 price target on JNPR.

JNPR August option implied volatility of 51 is above its 26-week average of 47 according to Track Data, suggesting slightly larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Under Armour (NYSE: UA) is recently up $1.49 to $31.72. UA is scheduled to report Q2 EPS on July 29. Wedbush Morgan says "Expect in line Q2 results; checks suggest brand continues to perform despite challenging retail environment."

UA August call option implied volatility is at 75, puts are at 86, above its 26-week average of 54 according to Track Data, suggesting larger price movement. UA put volatility is higher than call volatility because UA is difficult to borrow.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Telmex (NYSE: TMX) said second quarter profit fell 13% after more customers switched to wireless service.

Goldman Sachs says: "Maintain Telmex Sell on 2Q08 sales drop + margin squeeze."

TMX August option implied volatility of 36 is near its 26-week average according to Track Data, suggesting non-directional price movement.

Microsoft (NASDAQ: MSFT) closed at $25.80 Tuesday.

MSFT is hosting an analyst day on July 24.

MSFT August option implied volatility of 28 is below its 26-week average of 30 according to Track Data, suggesting decreasing price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Cablevision (NYSE: CVC), an entertainment & communications company controlled by the Dolan family, closed at $21.65 Tuesday.

The Dolan family has made frequent attempts over the last four years to implement strategic alternatives at CVC.

CVC is expected to announce Q2 EPS on July 31.

CVC August option implied volatility of 47 is above its 26-week average of 40 according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Costco (NASDAQ: COST) is recently trading at $66 in pre-open trading, below its close of $72.

COST said earnings for the fourth quarter are expected to be well below the consensus estimates because of a rise from inflation, particularly as to energy costs.

COST overall option implied volatility of 32 is near its 26-week average according to Track Data, suggesting non-directional movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Assured Guaranty (NYSE: AGO) is recently down $8.77 to $9.95. Moody's said it placed AGO debt under review for possible downgrade. AGO has a triple-A-rated credit rating.

Wilbur Ross announced on Feb. 29 the agreement to invest $1 billion in AGO, a Bermuda-based holding company that provides credit enhancement products. AGO August option implied volatility of 195 is above its 26-week average of 69 according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.