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

To: Bill Hermesmann who wrote (1762)	9/16/1999 5:29:00 PM
From: Philip W. Dunton, Jr	Read Replies (2) \| Respond to of 3661

Bill, You are exactly correct. As I look at a weekly chart of MTSN, that triangle formation in 1997 turned out to be the top in the stock. Now, if you were a chartist, breaking out of that triangle on the downside at the 13-14 level would have been a sell signal. Acting on that would have saved one a ride to the $2.00 level. You have just confirmed how valuable charts can be. I have been saying for two weeks now that MTSN needs to break out of the triangle formation to the upside in order to confirm its uptrend. That hasn't happened yet. If we were to break out of the triangle to the downside (not likely in my opinion), that would be a bearish sign and perhaps a sell signal similar to the one we saw in 1997. Phil

To: Bill Hermesmann who wrote (1762)	9/17/1999 12:43:00 AM
From: tejek	Read Replies (1) \| Respond to of 3661

I can understand your skepticism re TA. I learned to trade, using both fundamentals and TA, so it seems pretty natural to me. And I believe that the formations found on charts are a integration and reflection of market conditions at the time; industry conditions at the time; and company conditions at the time. Just some comments re TA: *Why are so many formations like the cup and the handle repeated over and over on the charts of so many different stocks? Why do the formations of these patterns coincide with the time periods between quarters? **Why do pennant/triangle formations consistently result in large gaps up or down at the end of their formation? And when you understand the reasons that cause these formations to develop; reasons having to do with traders/investors entering and leaving the stock, you begin to realize that TA is not based on happenstance but on logical, rational, factual datum. Having said all that when do we get rich off mtsn? ted