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Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: FMK who wrote (19032)	4/6/2000 7:46:00 PM
From: Rich Wolf	Read Replies (1) \| Respond to of 27311

I would recommend being very careful with margin in this market. The apparent calm today is deceptive: folks who sold stock or covered a call with cash are still close to the edge.... and we're just waiting for the next 'exogenous event' to upset the apple cart. Diversify, diversify, diversify... and do 'worst-case' analysis of what would put you at what you think of as a comfortable amount of margin, and even when times are great, don't forget the worst case!

To: FMK who wrote (19032)	4/6/2000 9:46:00 PM
From: Zeev Hed	Read Replies (2) \| Respond to of 27311

Fred, I agree with rich, if people are still on margin, the current rally which I do not think will last past the end of April should be viewed as an opportunity to cut down on this margin, IMHO. We are not at the beginning of a bull market, but closer to its end. There is a reason for the increased volatility, and often when the VIX goes to levels experienced recently, a change for the worst in market direction ensues. No one knows if 3650 on the NAZ was the bottom, will it just be retested or worth declines lay ahead. You know from your experience the dangers of margins, I hope you are not recommending that people go to max margin to buy VLNC or any other stock. Right now, margin might well be your worse enemy. Good luck Zeev