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Technology Stocks : Alliance Semiconductor -- Ignore unavailable to you. Want to Upgrade?

To: Charles R who wrote (5527)	7/23/1999 5:37:00 PM
From: Ram Seetharaman	Read Replies (1) \| Respond to of 9582

There will be more selling in the next couple of sessions and it will probably settle somewhere in the 7+. My VLSI shares are being bought at $ 21 and I have some cash freeing up. At 7+ ALSC is a bargain. I am going to slowly add daily to the arsenal. I was betting on ALSC, ESST, XLSW, XICO and ALSC goofed a bit. ESST more than made up for it and is zooming to $ 20. Wall Street and Rock 'n Roll don't forgive do they!

To: Charles R who wrote (5527)	7/23/1999 8:14:00 PM
From: Harlan Huber	Read Replies (1) \| Respond to of 9582

Charles: Can you summarize any more of your impressions that you got from talking with the person who listened in to the CC. Was the company upbeat about the coming quarter ended Sept 30 or noncomittal? Did they mention the names or anything about the startup companies they plan to invest $7 million dollars into in the current quarter? Thanks, Harlan

To: Charles R who wrote (5527)	7/24/1999 4:21:00 AM
From: Harlan Huber	Read Replies (1) \| Respond to of 9582

Charles: One possible reason for "loading" the Sept Q might be to entice institutions to buy the stock right now. I saw a lot of blocks of size 10,000 bought at 7 7/8, 8, 8 1/64, etc. Small investors have been huge owners of this stock, since it was a favorite of bottom fishers down at $2 and $3. My understanding is that a lot of institutions don't like to buy stock below $10 if the stock is going to stay down there. Since it went above $10 and then pulled back, this is a good entry point for institutions provided the company can meet expectations in the Sept Q. If they don't meet expectations in the Sept Q, I would think they would get smashed by tax-loss selling after Oct 22 when they report and institutions would not want to buy into a stock with that possibility. If they got smashed in Oct, the stock would probably drop all the way back to the 200-day MA back down around 5+(currently, it is about 4 3/4). On the other hand, if they can "load" the earnings for the Sept Q, they also then have the possibility of Chartered Semi making its IPO near the end of the year to give the stock another boost toward the end of the year to further entice institutions to buy now. Clearly, the company is catering to institutional buyers if they are restricting the CC to institutions and leaving small investors guessing as to what is going on behind the closed doors. This is all speculation, but it might explain why they are willing to take a hit now in order to get a strong Sept Q. I hope their semiconductor business will improve this quarter as they seem to suggest in their quarterly report. Harlan