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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: Herm who wrote (8433)9/2/1998 5:01:00 PM
From: Cesare J Marini  Read Replies (1) of 14162
 
Herm,

I'm not sure I understand this one:


BEAR TRAP BODY COUNTS!

CPQ

bigcharts.com.

TIMBER! Plenty of baby fat on CPQ! The knife is barely started
cutting! NYSE: (CPQ : $27 15/16)$42,392 million Market Cap at
August 31, 1998 Ranks 55th in the Fortune 500 on Revenue & 59th on
Profit. Employs 18,865. Trades at a Premium PE Multiple of 58.3 X,
vs. the 22.7 X average multiple at which the Computers SubIndustry is priced


According to the chart you posted, CPQ tagged the lower BB and the RSI was low, almost in the 20's, and starting to climb again. Wouldn't that signal an upswing according to WINS?

Thanks,
Joe
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