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 : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Robert Graham who wrote (23305)	5/22/2000 11:07:00 PM
From: Chris	Read Replies (4) \| Respond to of 42787

im at the library studying, but good to see everyone here. good reversal today, but can we continue upwards, that's the key. want to see more volume as well.

To: Robert Graham who wrote (23305)	5/23/2000 1:12:00 AM
From: Lee Lichterman III	Read Replies (1) \| Respond to of 42787

Well I just posted this elsewhere and it kind of fits with what you are saying I think. >>Bud, I agree that we are nearing some potential bargains. Yes I believe tech is the future and I believe part of the new paradigm is true but most of it is hogwash. The big unknown is how to value most of them since the accounting gimmicks make it nearly impossible to see what they really earn. Hopefully the SEC will nail things down someday but I won't hold my breath. As for the broader market, I don't believe today was the mid term bottom. I spoke with Don and we compared notes on what we were seeing and pretty much both see the possibility of a couple day rally but a return to these lows are more likely later down the road, probably this week. The bullish argumet I can make is that the major indices did form pseudo hammer bottoms off the triangles support lines. However these supports are only for the triangles and really aren't that meaningful of supports for a reversal in a mid term trend. I would much rather see something like the old 2900 support line we spoke so often about ( I now have it around 3000 since it is an ascending line and the time delay it took to get this far) The other bullish thing I saw was besides many stocks bouncing off various support lines and 200 DMAs, the NDX tested the P&F BSL as I have it drawn and then bounced back for the close. I also have numerous numerous short term buy signals firing off on my charts, but they should have done so a day before the low so are they late or is there more lows coming ahead? Unfortunately, these bullish things just don't look convincing enough to over ride where my technical cycles readings or my chart lines are telling me and that is that we haven't found bottom yet. I show more time needed to arrive at a bottoming level. I also don't have any major supports here as I stated earlier. Some discussion with Les on SI, my own readings and Don's readings all seem to fit a pattern of up, turn down mid to late this week, then possibly a firmer bottom early next week. I may be wrong but that is how it is looking so far. I may start nibbling on some individual issues here and there but will probably wait out playing my index options until I can get another crack at my prices. EDIT - One scary thing I noticed as I was updating the P&F Charts was that we formed low poles on many tech leaders and the closing rally today retraced about 50% of the moves down. This is a common occurance before resuming the previous move which in this case would be down. Could we just be accelerating the bounce nito a few hours before resuming the selling. Scary thought and doubtful but interesting and highly feasable. <<<<<<<< Tim, hey, we had to move to get you out of lurk mode and into posting mode <g> Long time no chat. Poet, I thought about going to your thread but since you guys concentrate on active options trading and we mainly focus on overall market direction, this seemed more appropriate. I will still come visit when I get ideas and when I am actually home trading. Les, many of my indicators have already turned down in teh DOW and SPX/OEX. Of course the NASDAQ is already down past midway points on mid terms. It will be interesting to see when I run my morning scan if it gives a buy on the NASDAQ or not since it crunches a few mo mo indicators and then checks for over sold readings. It will be real close. Dennis, 100 NDX points, boy you don't ask for much do you <g> I may as well try to fill Richards NASDAQ 7K request too. I agree with what you did though, SUNW is an animal and was the first one I saw bounce today, even CSCO lagged it and GE hardly budged. Not a good sign there. 2100, wow I don't know about getting that low. If we did, I doubt it would be a quick bounce back. I am not looking for a interest rate raise in teh June meeting and think that alone may spark a rally. I hear AG only wanted 25 points but was outvoted to the 50 point hike. Therefore I think that they will be more cautious and adopt a wait and see approach. Of course this will incite a return of teh maniacsd who will then proclaim that inflation has been defeated and get caught dancing like in a Friday teh 13th sequel or a Halloween thriller. The market will shoot up and Americans will start bidding houses up to the multi millions again requiring the Fed to raise another 50 in August after some stern warnings that cause the next slide in late July. Heard on NPR this morning that a survey of 11000 businesses stated they had never seen such a tight labor market and that they could not find enough help. If they don't rally tis market fast, those workers are going to want REAL money and not those free options that the CFOs adore so much to inflate their earnings numbers. All heck could break loose if that happens. I am already hearing rumblings that this is occurring in many venues. The college kids are now wondering if going to the dot coms to be rich in 3 years is as smart as they originally thought. Many are now opting to work for old stodgy real companies that pay hard cash and might actually still be in business 5-10 years from now. Does anyone have a site that shows Fed reserve repos now that Yahoo stopped keeping their info up to date. I would love to know how much cash is moving in and out of here during these whipsaws. Most times, these miraculous rallies are bought by the Treasury. Yahoo stopped posting the repos and coupon passes about the same time the market started sliding. Good Luck, Lee