cut Cornstock56: hey!!!
Tiric: Hi Peg
Tiric: Is 7900 there yet?
Cornstock56: close enuf for government work
Tiric: is 2% close enough
Cornstock56: could slice right through it on Monday
Cornstock56: but we are gonna have the rrrrrrr
Tiric: Yeah...the ACT as a target hasn't always meant it's a real bottom
Cornstock56: I'm looking at leaps
Cornstock56: they are sooo cheap
Tiric: RR from a true bounce directly off the ACT is Dow 11,800
Tiric: in 9 months
Cornstock56: wouldn't that be incredible
Tiric: Leaps are definitely the option of choice
Cornstock56: I think we will have a retest tho
Cornstock56: I hate options but think leaps are pretty safe
Cornstock56: I'm definitely buying csco and nt
Tiric: there is always a retest but the 3 week bounce prior to a retest can bring in some nice lunch money
Cornstock56: also prolly sunw
Cornstock56: that's for sure. I can't watch during the day so I hate it
Tiric: SUNW is really cheap alright
Cornstock56: notice the anti pastes - do we need a knee down there - lol
Tiric: TXN showed what it's made of on Fri
Cornstock56: yep maybe better buy some of the too
Cornstock56: I kinda like lsi too but the chart looks grim
Tiric: NDX is 30% below the 50 dMA and the Dow is at the ACT. I truly expect the Dow to bounce 400 to 500 points from the Mon low to the intraday Tuesday high
Tiric: minimum
Cornstock56: I'm gonna have to get on the horn and call in those trades.
Cornstock56: May just have to buy and ride down Monday
Tiric: Mon downside is probably only Dow -120 in the first 20 mins. Then it'll be a roman candle
Cornstock56: k, maybe i will just go in late
Tiric: If that doesn't happen, and the ACT breaks...we'll see S&P 850. But S&P 850 will not take much away from risk/reward of starting in long.
Tiric: But I really think the market is nearing the level where dart throwing will work fine over the next couple weeks. Then a retest followed by longer term dart throwing opportunity
Tiric: For the first 2 months after the retest, just buy stock in the BIG companies. HWP, AAPL, GE, CSCO, etc
Cornstock56: I think that's a darn good idea - thanks doug
Tiric: The pullback from that...leading into yearend will offer opportunities in the midcaps
Cornstock56: yeah, and dell might fit right in there too
Tiric: I like PRGN, TTEK, LBRT, OPMR and a few others for that period
Cornstock56: yeah, i was looking at ttek
Tiric: ISSI, NETA
Tiric: pharmaceuticals too
Cornstock56: imcl is a good bio too i know you like mlnm
Tiric: right
Cornstock56: jnj mrk
Cornstock56: probably both good on the initial rr
Tiric: yep
Tiric: RR timeframe is 9 months...with the usual ups and downs along the way of course
Cornstock56: ya haven't given up on hdwr have ya
Tiric: The first bounce out of the currently extreme oversold condition is gonna take some peoples' breath away I'm sure but the retest of the low after that will be pretty dramatic too
Tiric: HDWR certainly has potential but timing is the question on it now
Tiric: Probably HDWR will be one that better participates in the 2nd run toward the end of Dec
Cornstock56: the rr should last at least a week shouldn't it?
Tiric: RR will go 9 months
Cornstock56: no i mean the first one part before the retest
Tiric: I think initial jump (before retest of bottom) will be 3 weeks. So give it 2 weeks
Tiric: Since the market has not yet quite exactly hit the ACT, the retest will actually be the real hit on the ACT. That would produce a low on the chart that's just a bit lower than present, a normal bottoming activity
Cornstock56: I'd like to see it hold the act - those seem to be the most successful
Tiric: Yeah, the fact that the IL/ACT/RR stuff is playing out with the entire market is not what I ever expected when I developed it in relation to individual stocks but since it's a supply/demand or psychological pattern I think that seeing it in a large scale like this, in an economy and society as strong as this, we'll see it hold
Cornstock56: it seemed so far away one year ago. member when you said you were almost afraid to post it?
Tiric: Yep...I even held off on mentioning it in 3 or 4 seminars after I saw it
Cornstock56: i know - i member
Cornstock56: have you looked at mton?
Tiric: The last seminar I gave I finally decided to bring the chart for it
Tiric: MTON is still quite viable
Cornstock56: yes it is
Cornstock56: no we talked about the act over a year ago
a year can seem like a long time,
Doug R |
