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Technology Stocks : AUTOHOME, Inc -- Ignore unavailable to you. Want to Upgrade?

To: E. Davies who wrote (20795)	4/12/2000 9:34:00 PM
From: ahhaha	Read Replies (2) \| Respond to of 29970

The stock will rise in spite of news. Selling is being done by small fry into strong hands. The observers see that selling has little or no price concession. 96% of the trades in the last hour were on down ticks but they didn't make much headway. The failure of selling to make headway encourages buying and the buying goes initially to the book since that's where the assured supply is. As soon as a little upside develops, the sellers stop selling market and book to sell. A little buying sends price up smartly, but it is selling that enables the upside action, since the buying isn't arresting shares from someone else. When you hear people get into this chicken and egg stuff when they make comments like, "for every buyer there is a seller", they are implying that there is no net force. Well, there is. One side wants it more than the other wants to keep it. In this case it is the nature of selling which is important. The buying is small and inconsequential, but it is inelastic since the sellers easily give it up by booking. When the book is thin above they aren't giving it up easily. They're hanging on to their shares because they know some greater fool wants them. That's when the market maker makes the fools pay up and shorts to supply them, because they agree with the fools. They can see the infinite upside taking them to short sale ruin and resent how much they will lose. However, they're required to do it and that's where the market makers make the dough. The market forces the market makers to make money against their better judgement. This truth is completely at odds with the nonsense the public chooses to believe in their search for The Final Conspiracy.

To: E. Davies who wrote (20795)	4/13/2000 1:33:00 PM
From: ld5030	Respond to of 29970

The Portland ruling may be important to supply an event to the public that OA really is dead. It died long ago, but there was no event and no funeral. Otherwise it is pretty irrelevant. Someone needs to tell the sheep that it is ok to buy tech stocks again.

To: E. Davies who wrote (20795)	4/14/2000 5:29:00 AM
From: KW Wingman	Respond to of 29970

I doubt that <I have this ugly feeling that ATHM is gonna keep going down until either myself or KailuaBoy capitulate. Problem is we are both too stubborn. We are both determined to be the last one standing.> I may be. In fact I may sell my GE stock which would allow me to just about double my shares in ATHM at this low price. It has been said by one that it is wrong to average down. That may be good advice IMO if you later decide to sell at a lower price. If you really believe in your position, you stick to it and you are later proved to be correct by the market, buying low and averaging down is a good idea.