So, Dell traded down 7pts after-market in response to Compaq's bad performance!! Frankly, I'm shocked, shocked. How silly of me to think that Dell and Compaq are competitors.
Odd isn't it that that's roughly the same 7pts Dell ran up on Friday? Does anyone expect that Dell will be trading down another 7 pts by 10am, after the split? Market makers hope you do; they may well try to make your Level II screen look that way at the open (but probably not even that -- they've shook down the after-market 'pros'; they're setup for big profits (like Friday) and Monday's rise.)
Speaking of shakedowns, they'd like you to forget the computer industry is in a shakedown phase wherein dimwitted box makers get eaten by better box makers. Don't we all know that all signs point to Dell winning and winning market share, even from low-ballers like cmpq, ast, packard bell, etc? And don't we all know that everyone wants a computer, a first one/ a new one ... whatever?
Then, will anyone be really surprised when Dell closes Monday at an adjusted price higher than Friday's close? You know how market makers and first-time Dell investors love the news of Dell 'at such low prices', right?
Save an Asian meltdown before Monday's open, I see Dell up a little at 9:30 and a lot by 10am. This makes Dell -- as always -- *both* a good daytrade and a good investment on Monday am.
And if everything above is wrong on Monday ... it will be right on Tuesday. |
