Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: H James Morris who wrote (74371)	8/18/1999 1:14:00 PM
From: Mark Fowler	Respond to of 164684

James thanks for the good piece i would of missed this....

To: H James Morris who wrote (74371)	8/18/1999 3:15:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 164684

Short selling of several of the Internet stocks increased during June and July - after much of the damage had already been done - and appears to have remained at high levels in early August when the sector had hit bottom. I think this is contributing to the current rally. A key trading sentiment indicator I follow has turned from bearish to mixed or somewhat bullish: When good news is dispelled and bad news is punished, expectations are high and stocks unlikely to turn bullish (this was the trend earlier this summer). When 'good news' starts to propel stocks up, it signals a reversal in sentiment - or at least sets the stage for a technical bounce. When the market has clearly turned bullish, bad news has a lesser effect and minor news spurs stocks higher - I don't think we have reached that stage (similar to late last year and early this) yet. The charts have improved for most Internet stocks and the sector. However, accumulation indicators show that the quality of the move probably won't support a sustained rally. IMO, the net stocks will pull back and probably retest their lows. And if fears of inflation, Y2K or other issues emerge to overcome the expectations for strong seasonal sales, the nets may well reach new lows for the period. Good time to enjoy the sun while it shines: but be careful not to trade too far ahead of the market.