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: Saulamanca who wrote (57113)	7/24/2000 1:28:11 PM
From: Les H	Read Replies (1) \| Respond to of 99985

They bailed out Mexico in January 1995 and the Fed lowered rates by summer. The question really is how much was the market reacting to the interest rate cycle and how much to the resolution of the Mexican crisis. The bailout helped the bank stocks most as opposed to the techs and the Mexican depression helped slow down the economy here. The Asian crisis resolution appear to have helped the techs most. The main drag on the economy now is the Fed and that's questionable and the high debt levels. There's also the question of a seasonal pickup in demand for Xmas to be expected. You also still have the tax-loss selling to look forward to by September. The 1994-1995 market had already absorbed that period.

To: Saulamanca who wrote (57113)	7/24/2000 3:19:06 PM
From: James Strauss	Respond to of 99985

Jim, Is the Fed done tightening ? Does it concern you the NDX already fulfilled it`s 61.8% retracement of the 3/24 - 5/24 correction ? Jim: It looks like the NDX has to fill the open gap in the 3760 area before it can go higher... I think we'll see an intraday turnaround tomw after the gap is filled and Greenspan makes nice with the markets... bigcharts.com. I think the FED is done tightening... They might even have to reduce rates before the year end as the 5th and 6th rate hikes begin whacking the economy... Jim