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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: techguerrilla who wrote (75435)	7/6/2000 12:37:14 AM
From: Uncle Frank	Read Replies (1) \| Respond to of 152472

>> we have to stop rationalizing each step down and ask ourselves what will generate a motion upward. I did that months ago, and decided it would take better than expected earnings, proof of accelerating growth in cdma subs, and a positive conference call. Qualcomm isn't a momentum stock any longer, unless you count downward momentum. The big bucks are scared of it, since there is so much uncertainty. My strategy has been to diversify a bit, and resist the temptation to double up on the way down (a tough thing to do based on my belief in the Q). I wouldn't touch short term or margined plays on qcom at this point, but I would (and am) holding a significant amount of it for the long term. uf .

To: techguerrilla who wrote (75435)	7/6/2000 1:07:39 AM
From: Dwight E. Karlsen	Respond to of 152472

now we're having general tech earnings fears, if you will. Regardless of what Qualcomm and analysts said about its layoffs, I think that laying off hundreds of people can be the "canary in the mine" type of indicator. Companies are rarely quick to hand out pink slips, so something has to push them to do it. The layoff announcement date was pretty deep into the quarter ending June 2000, as I recall. Perhaps someone in the accounting dept at QCOM showed some numbers to their boss, and the boss decided cost-cutting action was necessary. I like QCOM, but I'm putting my money into a new house for now. I posted here back in Feb 2000 that I didn't like the looks of QCOMs chart up to that point. Actually I said that "the chart is trashed". QCOM was around $120-130 then. It's certainly come down a bit since then. As for the $60 level, it had been tested at least 4 times previous, and it had held (once in May, three times in June). So I was looking at $60 as an important support level. Now that $60 is above the current price, the stock is vulnerable to more selling, IMO, where the price could easily wind up in the ranges that diamond_h indicated.