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Biotech / Medical : Aviron
AVIR 3.070-12.0%Nov 13 3:59 PM EST

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To: Haolin Ni who wrote (26)7/17/1997 4:40:00 PM
From: Stephen D. French   of 645
 
Haolin - The next thing you need to prepare for is the drop in price.You need to think about how that will happen and if you can take advantage of that. One method is using real time charting which you must have.

The price may drop in somewhat of a panic or it may drift lower. During the decline there will be a peroid of minutes where the stock will drop too fast. That is when you should focus your attention on the chart.

There may be signs that the stock will turn-around and go back up again for a short term gain. It's based on volume trends associated with the price trends. You need to learn how to use these.

{I have printed out many examples of stock movements using real time data and high-lighted the reasons why they moved and keep them as a reference}.

These gains will not reach the heights to where it decended from unless huge buying comes in which is unlikely.

One important point as to why this stock went up as far as it did.
Momentum - By that I mean it's not a fundamental advance with this stock but a game. Fundamental issues started the stock moving, the momentum players pushed it too high. They love these basic human interest stories.

stephen
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