Schaeffer's Street Chatter Highlights the Following Stocks: JetBlue Airways, Netflix, Lexmark International, and AK Steel.

CINCINNATI -- Today's "Street Chatter" from Schaeffer's Investment Research focuses on: JetBlue Airways (NASDAQ:JBLU), Netflix (NASDAQ:NFLX), Lexmark International (NYSE:LXK), and AK Steel (NYSE:AKS). "Street Chatter" is a report that analyzes three newsworthy stocks that are generating a lot of attention on Internet message boards. "Street Chatter" is published on www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research.

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Street Chatter:

JetBlue Airways: The shorts could be in trouble today following a positive report from JetBlue Airways (NASDAQ:JBLU). While the firm reported an 18-cent loss for the quarter, it still beat the consensus estimate by two cents. The shares jumped more than five percent on Monday ahead of the report, and are up another five percent this morning in early trading, putting bears in a nasty pinch. As of the March report from Nasdaq, nearly 32.5 million shares were sold short, or more than 20 percent of the stock's total float. The stronger-than-expected earnings report will have a number of these short sellers buying their positions back in an effort to lock in profits or curb losses.

Netflix: Netflix (NASDAQ:NFLX) blew out the low expectations of options speculators last night when it posted a 47-percent increase in first-quarter earnings. Ahead of the report, options speculators piled into the equity's deep-out-of-the-money May and June 27.50 puts. Open interest for both of these options now number roughly 11,000 contracts. This pessimism matched with the stock's recent breakout above long-term resistance at the 30 level has bullish implications from a contrarian perspective.

Click the following link to see a Daily chart of Netflix since August 2005: http://www.schaeffersresearch.com/wire?ID=15865

Lexmark International: A positive earnings report has helped to boost shares of Lexmark International (NYSE:LXK) today, but the shares' gains are being capped by some potentially staunch technical resistance. The stock has tacked on more than three percent this morning, but is encountering resistance at its declining 10-month moving average, which it has not finished a month above since September 2004. Meanwhile, call open interest is starting to build at the 50 strike, which could also work to hinder the equity's rally attempts.

Click the following link to see a Monthly chart of Lexmark International since July 2004 with 10-Month moving average: http://www.schaeffersresearch.com/wire?ID=15865

AK Steel: Options speculators trimmed their bullish expectations for steel producer AK Steel (NYSE:AKS) ahead of this morning's earnings report. Traders liquidated more than 16,000 calls in the stock's June series on Monday, possibly locking in some gains ahead of the company's report. While the firm did miss the consensus estimate due to rising raw material costs and charges linked to a labor dispute, the shares haven't pulled back as far as one would expect. In fact, AKS is currently down only 11 cents, or 0.71 percent, in late-morning trading. Furthermore, the shares are still above long-term support at their ascending 10-week moving average. A pullback to this trendline could provide investors with an attractive entry point into a bullish position on this outperformer.

Click the following link to see a Weekly chart of AK Steel since October 2005 with 10-Week moving average: http://www.schaeffersresearch.com/wire?ID=15865

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About Schaeffer's Investment Research (www.SchaeffersResearch.com)

Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com, is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method.