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Technology Stocks : METRICOM - Wireless Data Communications -- Ignore unavailable to you. Want to Upgrade?

To: vibaby who wrote (1087)	6/23/1999 9:40:00 PM
From: Hawkmoon	Read Replies (1) \| Respond to of 3376

vibaby, If I can step in here a moment in defense of TA. You're correct that TA cannot account for unforseen events, although it may reflect some action on the part of those who have an inside "scoop" on what's happening. TA is invaluable for one thing, creating a pattern and historical record upon which investors can create a semblance of predictive analysis. Can it take into account a massive alteration of the fundamental picture? Absolutely not. Can it be a gauge of overall market sentiment available for all traders to make rational predictions from?? Absolutely. Right now I'm trying to figure out the hourly chart analysis for MCOM. There is an appearance of a "pinching" Bollinger Band formation which suggests consolidation and preparation for another major move in one direction or another (but most likely upward given the $600 million investment by Vulcan). The hourly chart also reflects an oversold condition stochastically speaking which suggests more upside. But when seen from the daily chart, we're overbought, above the upper arm of the Bollinger Bands, a condition that almost always seems to correct itself eventually. One REAL BIG NEGATIVE, is the obviously heavy negative money flow reflected on the daily chart. That suggests (if not screams...:0) that many took the money and ran upon news of the preferred convertible priced at $10. Negative money flow equates to distribution, pure and simple. So if others don't want the stock at these prices, why should others. The negative daily money flow indicated is the sole reason I can't accept the risk of taking on a position in the stock at this moment, no matter how much money PA is willing to give them. You can look all of this up for yourself at bigcharts.com (hit interactive charting and apply the appropriate indicators). Prognosis? Tomorrow will be up for part of the day, if not all of it, and then we'll see a correction and consolidation phase beginning friday and lasting through early next week. Now let's see how well I my predictive powers perform... <VBG> Cavaet: This is strictly my opinion.. Make your own analysis and investing decision. Regards, Ron