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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?


To: Raymond James Norris who wrote (13355)2/12/2000 10:14:00 PM
From: Apakhabar  Read Replies (1) | Respond to of 14266
 
Hi Ray,

Thanks for that response. Questions:

At what point are you sure that the slope of the 200 DMA has indeed turned negative? Looking at your chart, it seems there are three areas (March 97, Sept 98, March 99) where the slope briefly turns down, before going back up.

What is your opinion of 50 and 18 DMA's that begin to slope down?

Do you have a chart illustrating these ("most bearish... in seven years") MACD readings?



To: Raymond James Norris who wrote (13355)2/13/2000 12:21:00 PM
From: Sigmund  Read Replies (1) | Respond to of 14266
 
Raymond,

TYCO would appear to be a CFRAted stock that broke it's long term trend line and is establishing a new uptrend. I am not a TA person so perhaps you will conclude that they never actually broke their long-term trend...if so please be gentle with me.

quote.yahoo.com

Breaking the long-term trend or not, it was a shock to the TYC stock price, a shock from which TYC appears at least in the short-term to be recovering.

Perhaps THQI will follow a similar pattern. It could happen. Certainly there are seasonal factors with THQI which make it difficult to compare THQI versus TYC and because of these seasonal patterns it will be difficult for some time to conclude that THQI is reestablishing an upward trend even if the price goes up.

It might be useful to study the CFRAted stocks. Such studies might facilitate some lawyers deciding there is a buck to be made in a class action suit against certain parties.

When the rumor of a CFRA report on THQI was posted on Yahoo (I call it a rumor because the person first posting this true information used a new Yahoo ID and I thought it was just a false rumor at the time -- unfortunately it was true but the YAHOO post may have misstated the timing i.e. it claimed the report had just been issued whereas I suspect the report may have been out for some time), I took a look at some other stocks which had been CFRAted and they all took a bad dive (which is how I came up in my mind with an worst case estimate of down to $15 for THQI) but most of these stocks recovered reasonably quickly and went much higher than they had been when CYFRated. That was part of my decision to stay in THQI in that I believed that even if the rumor of a CFRA report was correct and even if Wall Street bought into it, THQI's price would reasonable quickly recover.

I still think that will be the case.