Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: fedhead who wrote (47464)	4/20/2000 2:56:00 PM
From: American Spirit	Respond to of 99985

Holiday post-earnings malaise bringing us some startling bargain prices again. Might almost retest crash prices though I'm confident they won't fall that far, nor rise that much anytime soon. But certainly opportunities are presenting themselves here. IBM at 102 for instance. Reatilers down to bottoms again. Wireless stocks getting close to bottoms. COMS, QCOM, VOD, ERICY etc.

To: fedhead who wrote (47464)	4/20/2000 2:57:00 PM
From: pater tenebrarum	Respond to of 99985

Anindo, if this market had ever been about fundamentals, it wouldn't have gone as high as it did. i agree with the trimtabs contention that it is mainly liquidity that is driving stock prices. put another way, yes, the earnings have largely been quite good (leaving the issue of accounting shenanigans aside), but the market has discounted that long ago. there's of course also the issue of the increasing gap between corporate earnings and GDP growth. something seems out of whack there, and i expect real earnings growth to return to more normal rates in the future. especially if the FASB does away with some of the creative accounting that's all the rage nowadays. regards, hb

To: fedhead who wrote (47464)	4/20/2000 4:56:00 PM
From: KyrosL	Respond to of 99985

SNDK still has a triple digit P/E. In past market tops, stocks sporting triple digit P/Es typically fell more than 90% from their highs.

To: fedhead who wrote (47464)	4/20/2000 11:30:00 PM
From: NucTrader	Read Replies (1) \| Respond to of 99985

>>I had thought that earnings would provide a floor on the tech stocks. << IMHO this whole tech downdraft started with the biotechs. Clinton/Majors acted as a nidus for precipitation of the supersaturated solution of investor psychology(supersaturated as in everyone knew how overvalued it all was, that it really couldn't go on for ever, and that the day of reckoning was close at hand). The PPT turns up the heat on the bunsen burner and gets a little to go back into solution. Now along come earnings, many good, but in reality all too confirmatory of the overvaluations in the present market psychology. Uh ohhhh....bunsen burner just went out. The solution's cooling down. The process of precipitation has only just started, IMHO. Course, gotta say: I been wrong before....;-)