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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: debby who wrote (33248)	9/19/2000 8:11:00 PM
From: IQBAL LATIF	Respond to of 50167

I am sorry it is cdwc.. Debby please accept my sincere apologies for the trouble i gave you.. <<Market Commentary Focus on the Big Picture When you watch your stocks on a daily basis, it’s easy to overlook the forest for the trees. During weak periods in the market (like we’re experiencing these days), emotion can get in the way of sound decision-making. When this happens, you’re sure to make money-losing mistakes. How can you weather these brief, stormy periods? First, you need to have a discipline. If you’ve followed our advice, you have a clearly defined discipline that, among other things, has you limiting losses. By limiting losses, you know in advance what your downside limits are. This effectively removes some guesswork and emotion from the decision-making process. Next, you must focus on the "big picture." This should help take your mind off of any short-term weakness the market throws at you. To boost your sprits during the current market correction, let’s consider the big picture today. We hope to leave you feeling good about your Internet stock investments. The information technology (IT) revolution is affecting all of us. It’s estimated that the number of people accessing the Internet will reach 304 million worldwide this year. That’s an 80% increase over 1999! And according to Inktomi and the NEC Research Institute, there are now more than one billion unique Web pages! Believe it or not, this is only the beginning. Even though the number of U.S. households with computers and Internet connections is rising rapidly, the majority of homes are still not online. And considering the U.S. is leading the Internet Revolution, you can see just how much growth is ahead for the Digital Economy. And that’s just individuals! Because the Internet offers tremendous efficiencies, many businesses are now embracing it as well. The obvious benefits to businesses are a new sales channel and a way to provide better customer service. But that’s only the beginning. The Web can also be used for inventory management, employee recruitment, marketing and new product design. The possibilities are limitless! Businesses are migrating to the Web in huge numbers. But according to the National Association of Manufacturers, more than two-thirds of American manufacturers are still not conducting business electronically. You can expect the feverish pace of migration to the Web to continue well into the future. Thanks to the Internet, the U.S. economy is in the midst of its longest expansion on record. And the good news doesn’t end there. You can add to this a 30-year low in unemployment, ever-increasing labor productivity and low inflation. According to the U.S. Department of Commerce, information technology (IT) sectors are growing at double the rate of the overall economy. In 1993, they accounted for 6.4% of the economy, and this year they could represent 8.3%. And IT contributed nearly a third of real U.S. economic growth between 1995 and 1999! With growth prospects like these, it’s no wonder that Internet stocks are in a long-term uptrend. Knowing this and staying disciplined should help to make the brief periods of weakness easier to bear. One company that’s benefiting from the proliferation of the Internet is CDW Computers (CDWC). CDW is a leading direct marketer of computer products to businesses, governments, educational institutions and individuals. This company is taking full advantage of the growing demand for computer equipment. Cabot’s i-TIMER is our disciplined method for staying on the correct side of the Internet market. The i-TIMER is bullish when the index is above the lower of its two moving averages and that moving average is trending up. Cabot gave its Internet BUY Signal in the week of June 19, 2000. The correction in Internet stocks continues. The Internet Index is once again testing its lower moving average, the 50-day moving average. At the moment, this moving average is at 519 and advancing slowly. And the Internet Index is about twelve points below its moving average, certainly not a decisive penetration. This correction is similar to the corrections that occurred in late July and early August. They spent a few days below their moving average, and they were great buying opportunities. We assume that the current correction in Internet stocks is just that, nothing more. If this is true, we should soon see the Internet Index start to advance again, moving ahead to a new recovery peak above the 560 value of late August. Note in the chart that the Internet Index has been advancing since its May lows, establishing higher highs and higher lows over the weeks. This is just the type of pattern we want to see. We remain bullish on Internet stocks. Cabot’s i-TIMER continues to tell us that the Internet Index is in an uptrend. You should maintain the positive stance we advocate until our i-TIMER tells you otherwise.>>