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To: Lucretius who wrote (68753)	10/13/1999 11:50:00 PM
From: John Pitera	Respond to of 86076

no he has been short and making money... for Wednesday, October 13, 1999. The technical pattern we described last Friday of the Dow returning up to a trendline from below was an almost perfect guideline for us. The Dow did get above the 10,700 level, but it lasted literally for only a few minutes, and here we are less than three days later, and almost 500 points lower. It was just what the pattern would have expected. As you know from last week's updates, it had to occur or significantly higher projections would have been given. Today's price action was significant because it did generate nominal 20 day downside projections on closing projection charts for the Dow and the New York Composite. The Dow closing price projection calls for 9900.30 to 10,014.20; New York Composite Index closing price projections to between 571.47 and 580.56. The difficult factor here in terms of the price projections is that it appears as if it will be very difficult to generate projections lower than around 95 to 9600 on the Dow, at least over the short term. Currently we can say that the Dow's nominal 40 week projection allows for a price as low as 9556 on a closing basis, but no lower, and it seems if lower projections are possible that that price would have to be reached for the next one to two days, which is a highly unlikely probability. In any event, the horrible market internals are finally catching up with the higher cap market indices and averages. They bear close watching from here. Mutual fund switchers, Rydex switchers are in the Rydex Ursa fund. Fidelity Select switchers are in cash. All mutual fund switchers should call after 3:20 p.m. each market day, and call each market evening. Stock Index futures traders, you covered the December S&P contract (the short) at 1293.20 for a profit of $41. Tomorrow, we are not going to take any chances in missing a big move to the downside, even though the futures are very oversold here and could get a pretty good intra-day rally at any time, but we are going to short the opening with a stop $14.20 above the opening price. The XAU is tough to read here. There are no new projections there. The December bonds are close to meeting their projections between 110 and 111 and the bonds could become interesting sometime over the next several days in terms of the long side. That's it for now. Have a great day. Cheer for the Red Socks!