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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Susan G who wrote (69365)	11/3/1999 3:09:00 AM
From: SMALL FRY	Read Replies (5) \| Respond to of 120523

Stocks ending lockup period: Off a newsletter: SHORT SELLERS DREAMS. You know about lock-ups, right? Internet company or high tech firm goes public and the insiders--company employees-- get rich! But they aren't really rich at first because they can't sell their stock. They're only rich on paper. They have to wait for a period of time, usually six months, before they can sell at least some of their stock. What happens on the day that these employees can sell their stock? Bingo! You guessed it, stock goes down. Almost every time. Hmm, let's see a sure thing, stock going down proposition, who would like that? That's right, short sellers!!!! It really, really works. Check out Ariba recently. It had a lock up end in late October. And today, a perfect example is eToys! It went public in mid-May, climbed to $86 in October, it was $76 a week ago. Today it fell over $4 to $50. Yes, there was a negative story in the Journal, but the real reason is the lock-up ended! Volume today, 10.9 million shares. Typical volume, 1.2 million. You do the math! Tomorrow? Check out Media Metrix. It has one lock-up ending tomorrow and another, bigger one in a month. Stock was down $3.50 to $41 today. Coming up? How about: Brocade (BRCD) Nov. 21, Scient (SCNT) Nov. 10, Portal Software (PRSF) SOON!, and Copper Mountain (CMTN) Nov. 9. (Double check my dates, might be off by a day or two!) Is this a short sellers dream or what?!?!?!