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Strategies & Market Trends : YEEHAW CANDIDATES

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To: Galirayo who wrote (20968)12/13/2006 11:51:09 AM
From: Ken W  Read Replies (1) of 23958
 
Ray etc, rather then et al:

"And .. Where is Ken anyway ??"

I'm still around, from time to time...tis the season to be up to ones hips in croc's...

Just a comment on gaps if I may. I might have mentioned it before, but the only reason I pay attention to gaps is for a trading op. Gaps nearly always form from some sort of news blub (either good or bad) down in the case of bad news, up in the case of good news. The trick is to play the gap (fast) as a good news stock will still attract some attention after the gap is filled and a down gap is usually overdone as the herd mentallity is in panic mode. Calmer heads will buy the overdone gap...in either case the end result is anywhere from 5 to 10% in the trade.

Bernard has always held that he does not like upgaps as the stock is destined to fill the gap from some good news event, he simply does not like to take the hit that the fill entails, thus why he asks about them.

I also understand your theory of breakaway gaps (those are far and few between anymore). The old days of the dot coms created the runaway stock, but other than BIOV I haven't seen a true breakaway in a long time.

Anyway, back to lurk mode.

Ken
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