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Technology Stocks : Silicon Graphics, Inc. (SGI) -- Ignore unavailable to you. Want to Upgrade?


To: Ms. Baby Boomer who wrote (7722)9/20/2000 2:13:42 PM
From: Don Green  Read Replies (1) | Respond to of 14451
 
Maria> My mentors taught me long-ago that a stock trades on it's own story and technicals, as far as the market climate is concerned????

No disrespect intended, but You might consider looking for new mentors!

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Here is the most important Lesson Learned or insight I have gained in my 30 plus years of Investing and Trading in the stock market.

The markets valuation of a stock is based on the following factors

70 % of the stock's price is based on the movement of the overall stock market.

20 % of the stock's price is based on the sector or industry the stock is in.

10 % of the stock's price is based on the actual quality of the stock itself.

So what does this mean?. In most cases the overall movement of the market and that of the sector/industry the stock is in, has more influence on the stock's price than anything else.

Once you truly understand this relationship your investing and trading will prosper.

With that said SGI has died in a time with the TECH world has gone crazy. Not a good sign.

regards

Don Green