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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: re3 who wrote (73279)	1/11/2000 6:36:00 PM
From: Earlie	Respond to of 132070

Ike: I never discuss personal market activities, but here are a few comments of a general nature. To begin with, take a look at the number of stocks that are trading well below their highs of April, 1998, never mind those that are trading below their moving averages. If one had been the owner of puts on some of them, it might have been a decent ride. (g) When a market begins to crater, the juniors go first as the pros extract their dough from them and move it up into the "darling" stocks. Later, they do the same thing at the intermediate level. This market has been classic in following this well worn pathway. History repeats. I've noted many times that during this mania, it is dangerous to short stocks other than the "mortally wounded". Stocks in bankruptcy humping tons of debt are low risk/excellent reward situations for shorts who have done the very demanding homework that is a prerequisite. Some of the "darlings" suffered massive falls from grace. Dell, Micron and IBM come to mind from 1999. Those falls were short-lived, as the "dippers" soon arrived to bid them back up, but so long as one did not tarry, put option ownership proved delightful. As I had a modest hand in providing a bit of the info that nudged some of these down the stairs,........ (g) 1998 was a nasty year for those (like this author) who turned bearish on fundamentals and took too long to recognize the mania. But once one recognizes what one is dealing with and develops a bit of strategy to deal with it, things can turn much brighter. Best, Earlie