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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: donald sew who wrote (22898)	6/21/1999 12:59:00 PM
From: doc	Respond to of 29386

donald, i don't think we've seen anything close to a blow-off top yet.

To: donald sew who wrote (22898)	6/21/1999 5:17:00 PM
From: Dennis J.	Read Replies (1) \| Respond to of 29386

Don. >>Technically, you are correct concerning large volume, which gives hint of climactic buying. << As I remember buying climaxes, the may also be on light volume. Just that sellers are waiting for the top to materialize first. Remember William O'Niel's cup-and-handle formation? He uses the breakout from the handle on high volume to signal a buying opportunity. He notes that these signals frequently generate 100%-plus returns in a relatively short period of time. ANCR provides a good example, with the gap-up on June 3 from 10 1/2 on 450% of normal volume signaling the breakout from a cup-and-handle formation (best viewed on a p&f chart). That started a move of 135% from 10 1/2 to 24 9/16 today, and the move is still intact. The move has taken only 13 trading days. Re shorts, stocks love to climb that wall-of-worry. Trying to catch the top for a smallish correction seems like a losing game. If I were of a shorting nature, I would (at least) start with stocks below their 100-day moving averages. They seem much easier to "push" down even lower. Dennis