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Technology Stocks : Wind River Systems - Technical Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Richard Knox who wrote (365)	10/10/2000 12:20:09 PM
From: Peter Church	Read Replies (1) \| Respond to of 431

My Technical Analysis book by Thornsett says, "A gap might anticipate a significant and sudden change." It also says that filling the gap within a few days reestablishes the old trading range. I don't know why a gap would need filling even months down the road. It's psychological importance is more short term, if I am correct. We saw several gaps leading from 30 to 50 and culminating the day after the last earnings release. Being added to the SP400 was also fortuitous. I think we are in a period of changing perceptions about WIND and that is positive. However, I would wait until the dust settles here and we form and test a bottom again. No telling when that might be but we're not even close yet. The risk that we are in a primary bear market is weighing down the Nasdaq. If a bear market develops, even greatly oversold names will get even more oversold. Plus, there's that problem with a triple top at "50" that still looks very challenging for the stock. I'm playing it safe now, having been burned by overenthusiasm here (just last week). Buying puts or selling calls was the better trade. Best luck!