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Strategies & Market Trends : The Dead Cat Bounce Theory

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To: p. webster who wrote (336)4/2/1997 9:34:00 AM
From: Da Cat in Da Hat   of 1836
 
K. Weiss has a reasonable plan.

Most prefer to see where it will open in the morning, but 3:59 is just as good--provided more bad news does not come out overnight.

But holding to 3:59 will probably mean you will miss the peak. If you have access to intradays & you look at any stock that got powdered one day I'm sure that you will see a "bounce" pattern the next day that has the highs scattered out more towards in the mid-day than at the close.

What I was saying to George was that the "longer-term" on these stocks is immaterial as that is not the exercise. In my experience a stock that gets truly slammed takes years to return to "Pre-Slam" levels if at all.
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