Why EMC is having so much trouble breaking $20?

Everyone loves EMC (EMC). So why can't the stock break $20?

EMC investors have watched shares of VMware (VMW) basically go up in a straight line since the IPO, implying ever greater value for EMC's 85.6% stake. EMC investors have heard countless recommendations to buy EMC as the "smart" way to invest in VMware. So what gives?

Taking a look at the open interest for $20 strike price options might shed some light. The open interest for calls far outweighs the open interest for puts across the board. For the next few months the numbers stack up like this:

Sept 07 - 37,706 calls to 4,211 puts
Oct 07 - 57,507 calls to 2,894 puts
Jan 08 - 116,508 calls to 4,249 puts

In the most extreme cases, greater than 24 out of every 25 people are betting that EMC will be higher than $20 in the coming months. While this is certainly backed up by the soaring valuation of VMware, countless analysts, financial writers, Cramer, and basic mathematics- this huge open call interest is creating a barrier to further price increases.

Two weeks ago, I don't think anyone could have dreamed of seeing VMW above $70 with EMC still lingering below $20.

How much longer can this keep up?