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Strategies & Market Trends : The Dead Cat Bounce Theory

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To: Rocketman who wrote (284)3/27/1997 12:37:00 PM
From: MichaelSkyy   of 1836
 
You said....

"One problem with this method is that not everything moves in hours or a day, especially after a nasty panic drop based on sketchy info. DCBs with good fundamentals and a massive downside overreaction IMO seem to take a little more patience for things to shake out and the companies actual situation to clarify."

I agree,,,I have been playing a variation of DCB myself by "cherry
picking" the days loser's with great fundamentals..I bought TRID
IDXX & BAY this way...Sold TRID & IDXX today...I buy 1000 lots
and am satisfied with 5/8 to 7/8 profit minimum..I believe the
downside,,after they have already been hammered,,is nil because
they are sound co's..(IMO) I think I will hold BAY for awhile..
mike
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