Mark,
I have not played the nets very long, and although a lot of them are way down from their highs, I am not sure they are ever coming back. I never understood why their valuations were as high as they were, but since getting set up with a good trading system, I kind of forgot about the valuations, and just look for the price swings.
I have played with YHOO and AMZN only, and only after a lot of study in the behavior of the stocks. My first lesson holding one overnight was an 18 point gain, in my favor, but since then, I've held twice overnight, once for 1 point in my favor, and this morning... 4 points against me.
So, they are very unpredictable, and I would not recommend them as an investment... just a day trade, and then only if you have a good Level II system, can preload your orders, or put in bids and offers to cover yourself. It really is like playing with fire. This morning I took the 4 point loss, but was down almost 6 at one point, recovered to where I was only down 4 and got out. I could not predict with any measure of certainty what YHOO was going to do, so I decided to sit it out.
I did pick up some INTC just before noon and then I left.
I hear a lot of people talk about AOL. I think Paul would be a better person to comment on its behavior.
Jack |
