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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (48)	2/10/2000 3:53:00 AM
From: robert b furman	1 Recommendation Respond to of 33421

Yup, Parabolic Blowoff Top. When we look back at this chart - we will say "The only thing that kept us in the market was GREED" It is not a question of selling out now.It is a question of when and how to best enter a short position in what is an extremely rich and dangerous market. The good news is " when the reversal comes it will be a very quick 46.69 % ( actually your chart confirms that it will be a quick 50 % ). I couldn't count the days on your chart,but I'll bet any of the past reversals of price to the 200 day ma all occurred within 30 days. (50 % within 30 days is nice Hehehe) Bob I'm thinking shorting QQQ is the best way to go.It doesn't require an uptick and the naz 100 are looking weak already - as the purchasing power exits and/or filters down to the smaller caps.JMHO

To: John Pitera who wrote (48)	2/10/2000 5:42:00 AM
From: GROUND ZERO™	Read Replies (1) \| Respond to of 33421

John, Those are remarkable graphics, it's true that one picture is worth 1,000 words... thanks for posting them..... I agree, these markets may be in for some very heavy weather ahead... especially considering the CRB Index busting out of that pattern..... GZ

To: John Pitera who wrote (48)	2/10/2000 8:44:00 AM
From: John Pitera	Respond to of 33421

BOE raises rates to 6%; Bank of Korea raises rates today. The first interest rate increase in Korea since the Crisis in Dec 1997 The Bank of England Raises Key Rate to 6%, as Expected Dow Jones Newswires February 10, 2000 LONDON -- The Bank of England said it has raised its key interest rate to 6% from 5.75%. The move to raise the official repo rate follows the central bank's monthly monetary committee meeting Wednesday and Thursday, and was in line with market expectations. A Dow Jones survey of 25 United Kingdom economists last week showed 24 expecting the rate would be raised by 25 basis points. The central bank didn't publish a statement with the decision, noting only that its latest inflation and output projections will appear in the inflation report to be published on Feb. 17. The minutes of the meeting will be published Feb. 23, it also said. With no accompanying statement, economists said that rising housing costs and wage inflation probably pushed the central bank into turning the screw one more time ahead of the February inflation report, due out next week. "The bank is mostly worried about consumption growth in the U.K., which has been growing above trend." said Danny Gabay, U.K. economist at J.P. Morgan. "There are two legs which are supporting that growth, the housing and labor markets." "The consumer now has more money because of the strength in the housing and the labor market, and it's the consumers the bank has to tackle," said Mr. Gabay. ------------ February 10, 2000 -------------------------------------------------------------------------------- Korea Raises Key Interest Rate To Stave Off Inflation Increase Dow Jones Newswires SEOUL, South Korea -- The Bank of Korea said Thursday it raised its benchmark interest rate by one-quarter percentage point to discourage companies from piling up too much short-term debt and prevent the country's rapid economic revival from sparking an increase in inflation. The rate increase marks the first time South Korea's central bank has raised short-term rates since the height of the country's currency crisis in December 1997. The Bank of Korea raised the one-day call rate, which the central bank charges commercial lenders for overnight loans, to 5% from 4.75%. Most economists hadn't expected the central bank to raise rates this month because inflation still remains fairly muted despite the country's very rapid economic recovery and because of parliamentary elections scheduled for April. But speculation in the local press had mounted in recent days that the central bank might raise rates, quoting anonymous central bank sources as saying that the gap between short-term and long-term interest rates should be narrowed. The Bank of Korea said that while the economic recovery has continued, "inflationary pressures remain subdued." The central bank also said that "given current conditions, there doesn't appear to be a big need for additional rate increases." The Bank of Korea said that the focus of its increase in the one-day call rate, its benchmark short-term interest rate, "was to narrow the gap between long-term and short-term rates ... thus the call-rate increase wasn't a pre-emptive move but an accommodative one." The central bank noted that "long-term interest rates had been rising in response to the rapid expansion of the real economy and fears of financial market instability, thus widening the spread between long-term and short-term rates."

To: John Pitera who wrote (48)	2/13/2000 8:56:00 PM
From: John Pitera	Read Replies (2) \| Respond to of 33421

The Nasd almost gave us 3 outside reversal days in a Row!!! on Wed Thur and Fri. of this past week. geocities.com An outside reversal day occurs when a market makes a higher high and lower low than the previous day and also closes either above or below the range of the previous day. It is typically a reversal pattern or alerts us to a reversal of trend to be occurring shortly. The frenetic volatility that has enables this trading pattern to unfold, indicates the unstable, toppy nature of this market. Especially the tech high fliers. John