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Strategies & Market Trends : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: AllansAlias who wrote (29624)	9/13/2000 2:46:59 AM
From: Lee Lichterman III	Read Replies (2) \| Respond to of 42787

>>Do you really think these are currently "sale" prices? << FA wise, no, they are still mostly grossly over valued, but technically speaking, yes. Many of these stocks are sitting on support lines now and are over sold short term IMO. I see a lot of talk about CSCO breaking support. I show it sitting on support right now and would expect either a bounce here or a hammer bottom to be formed tomorrow as they shake out the last of the weak hands, then bounce it back up to scalp as we tend to do. Of course they have a different over all motive as the big boys are trying to bait the little guy that sold at the bottom to buy back in higher before they take it down again many times. FA wise, I think most techs are still grossly over valued. I doubt they will see where I think they should be though until the market really does blowup and go into full blown bear mode. I think most fo the "leader stocks" should be trading at half or less of where they are now. Also as I posted on our site this weekend, I think the NASDAQ needs to drop into the 2500 to 3000 channel from 1995 to 1999 just to get back to the prior "dangerous" levels that we used to have. Of course an over shoot down to the bottom half of that fork would be even better and I might actually buy and hold if that were to happen on some selected stocks. I haven't been posting here much since I have been extremely busy and short on time but if you have caught any of the posts on our site, then you should know that I feel we are in a very dangerous time period and I am in agreement with many here that this is only the first wave of a more serious decline to come. I just expect a few bear rally bounces along the way as the market doesn't move in a straight line to it's end objective. The way I have the 5 month wedge drawn, we could actually rally back up to around 4100 NASDAQ/NDX and still be contained in the wedge for an eventual break down in Late September to early October. Now, I don't expect a bounce that high but it is possible and a bounce to that level would not make me overly bullish. I wouldn't get too bullish until that was negated and even then I wouldn't trust it too much without confirming volume patterns since fakes out of wedges are common. Of course I try to catch the short term trend both directions so I try to ignore the FA when there is a technical chance of a move up. I don't think much can be bought on FA anymore except small and mid caps. The Mo Mo stocks most people talk about on stock boards are grossly over valued and how much so is almost impossible to establish since so much of the earnings now are contrived via smoke and mirrors. *EDIT - For those that do not know, my charts can be seen in the link off my profile. Good Luck, Lee