Gottfried, OT-Telecom, I hope to get more knowledgeable of technical methods, and think your approach is very sound. It can also save a lot of time (should be quicker to read a chart then to absorb ambiguous fundamental/news info).
There is a big disconnect on this fiber issue. The CEO of Corning just made positives comments, but as briefing pointed out today, this was stated before, so why the runup today?:
13:02 ET Corning Inc (GLW) 14.32 +1.32: -- Update -- Stock lifted by Dow Jones headline that CEO says fiber sales will be up in 2001, but this isn't very informative since company's previous guidance had been that fiber volume would be up 15-20% this year; unclear if simply being "up" is better, the same, or below prior guidance.
Also I heard CEO repeated the statement that internet traffic should be doubling every year, and heard he suggested "couple" of years to use up the dark fiber in ground. "There is more fiber in the ground than is needed right now, and it will take a couple of years to use it all." Could this be one of those great logic dislocations that happens with Wall Street from time to time (e.g. AMAT at 2 times sales in 98, prior to a 10x runup), or are the bears right that fiber sales will be slow for years, in other words, the one-time party is over. It seems too hard to figure it out, hence the advantage of the technical approach.
John |
