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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: Lost to Voodoo who wrote (3200)	5/19/2000 5:05:00 PM
From: 2ripley2	Read Replies (3) \| Respond to of 19219

albedo, there might be less margin call pressure this time around though, as it sounds like there are fewer people on heavy margin this time around. I don't have any concrete numbers on this. Any thoughts? Also, as 3400 was considered a short term support which has been tested twice and previously held & bounced... today's close slightly below that is just enough to give one pause to reconsider 3200 or 2900 as the next bottom. Add the descending triangle & the threat of more rate hikes and it doesn't look good short term. I just wish it would go ahead & tank to a level that everyone can agree is the bottom so we can move on. As JT said, this chinese water torture is tough. regards, 2rip

To: Lost to Voodoo who wrote (3200)	5/20/2000 1:34:00 AM
From: SkyDart	Read Replies (2) \| Respond to of 19219

Mind if I comment? I agree we may test 3200 support next Monday....but I am cautiously bullish over the next 4 weeks given the following: 1. SENTIMENT; Extraordinarily Negative: Bulls 21% 2. Bullish Divergences in most techs [ie MACD, RoC] and declining volume as the lows on many techs are retested. For example, look at EXDS chart. 3. Lower Margin Debt: Down 10% from highs. 4. 401k Cash Building Up on Sidelines [25 Billion per month] 5. Triple bullish divergences in Swenlin Oscillator and Adv/Decl stocks and in various NAZ breadth indicators ITBM etc. Rather than catch the proverbial falling knife, I am averaging into the PBTCX telecom fund [up 318% 199]. NAV is 58 down from peak of 110. Many of these stocks closed off their lows today. IMO upside for this fund is spectacular right now versus low downside risk. Unless of course Telecom, DSL, Broadband, Storage Access Networks, Internet, Fiber, Wireless all drop off the face of the earth...Nah! [See thread PBTCX: The Premier Telecom Fund if interested]. Typically the initial rally after a correction of this magnitude is huge; and often occurs when sentiment is most negative... DART