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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Dragon 1 who wrote (19373)	7/4/1999 7:38:00 PM
From: StockOperator	Read Replies (1) \| Respond to of 99985

Dragon 1, According to my read on the nutz overall, this group is going to rally from this point. The pace and makeup of this rally is yet to be determined but I do believe prices are going to push higher from this level. Some of the stocks have already started their moves this week; YHOO, ONSL, PCLN and BAMM are a few examples. Plus stocks like AMZN, AOL, NSOL, BIDS and actually a whole host of stocks are poised for a more obvious move on their charts. Keep in mind these stocks are breaking out from depressed areas (relative to their old highs). As prices move higher they are going to run into resistance areas on the charts. How these stocks attack these levels will depend greatly on the pace of the advance. And when you think about it the pace is nothing more than a true reflection of investor sentiment and any given time. My feeling here based solely on the NAZ breaking out of a six month consolidation pattern is the markets and especially the tech sector could be poised for a very serious move. If that indeed turns out to be the case the nutz as a group could cut through these resistance levels like a hot knife through butter. So far the pace of the NAZ advance has been a torrid one. Keep an eye on the price action this week - prices look ready to move. As I said in my last post I honestly think you have to go long here while establishing very tight stops just because these moves are still in their infancy. Tight stops will prevent you from getting killed if this turns into a bull trap. I hoped this helped. Regards, SO