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INITIAL APRIL 2007 RECOMMENDATIONS 3-10-07

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APRIL RECOMMENDATIONS


We are recommending the following three (3) put writes to start off the APRIL recommended list


We are recommending puts in the following issues:


BYI - Alliance Gaming Corp. is a diversified, worldwide gaming company that designs, manufactures and distributes gaming machines and computerized monitoring systems for gaming machines, owns and manages a significant installed base of gaming machines, owns and operates casinos and in Germany, is a full-service supplier of wall-mounted gaming machines and amusement games. The company has achieved a leading market position for each of its business units

KG - King Pharmaceuticals, Inc. is a vertically integrated pharmaceutical company that manufactures, markets and sells primarily branded prescription pharmaceutical products. Through a national sales force they market their branded pharmaceutical products to general/family practitioners, internal medicine physicians, cardiologists, endocrinologists, pediatricians and hospitals across the country.

PKD - PARKER DRILLING is a global energy company specializing in offshore drilling and workover services in the Gulf of Mexico and international land and offshore drilling.

We are recommending the following specific put writes:

BYI 23.56
SELL APR 22.5 PUT = BYI-PX
Target Price $55.00
Potential Profit(10 x = $550.00

Initial Margin $5,262 10 (contracts)
Return on Investment 10.45%
Cost Basis in Stock = $21.95
Days to Expiration = 42
Stock goes on Watch List Price at: $23.00
STOP EXIT STRATEGY
Close option position if Stock CLOSES less than $22.50

PKD $8.96
SELL APR 7.50 PUT = PKD-PU
Target Price $20.00
Potential Profit(10 x = $200.00
Initial Margin $1,992 10 (contracts)
Return on Investment 10.04%
Cost Basis in Stock = $7.30
Days to Expiration = 42
Stock goes on Watch List Price at: $8.00
STOP EXIT STRATEGY
Close option position if Stock CLOSES less than $7.50

KG $18.54
SELL APR 17.50 PUT = KG-PW
Target Price $50.00
Potential Profit(10 x = $500.00
Initial Margin $4,208 10 (contracts)
Return on Investment 11.88%
Cost Basis in Stock = $17.00
Days to Expiration = 42
Stock goes on Watch List Price at: $18.00
STOP EXIT STRATEGY
Close option position if Stock CLOSES less than $17.50


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