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

To: Jerry Olson who wrote (32991)	10/15/2000 3:30:54 PM
From: UnBelievable	Read Replies (4) \| Respond to of 42787

Friday Saw Some Weak Big Gains 366 NASDAQ Issues gained more than 15%. Of these 81 managed to do so with negative money flow (Dollar Value of Sales on an Uptick Minus Dollar Value of Sales on Downtick) The five largest based on market cap were PMCS, ALTR, PWER, PWAV, and LDIG. 999 NASDAQ Issues gained more than 8%. Of these 248 did so with negative money flow. 1923 NASDAQ Issues gained more than 3%. Of these 565 did so with negative money flow. The top ten of these by market cap were: ERICY,JDSU,BRCM,SEBL,YHOO,VRSN,NXTL,PMCS,RTRSY, and BEAS. While negative money flow is almost always observed when a stock is declining (as positive money flow is almost always observed when a stock is increasing)it also can be seen at times when a stock has gained during the day, but may have seen considerable down movement during part of the day. It is a real testament to the skill of the MM's that they are able to achieve very large price gains with negative money flow without any sustained periods of price decline. Looking at PMCS as an example, only one of all of the 1/2 hour candles were black, and it was very small. Prices went up consistently throughout the day but most of the transactions were sales. I believe that this ability is a result of the MO MO nature of todays buyers. To generate interest the market maker will walk the price up on small sales to "friendly" buyers. The real transactions of the day are distribution sales from either Institutional Owners or Fund Managers to consumers who are buying stocks, which appear to be rising, on the pullbacks. If you have ever stood at the shoreline at the beach and had the waves erode away the sand under your feel... its kind of like that. Money Flow The Money Flow indicator attempts to measure the amount of money buying a stock vs. the amount of money selling a stock. It does this by assuming that when a stock closes higher than its open (or on an uptick when calculated on a tick by tick basis), all volume associated with that trading period results from buyers. It further assumes that when a stock closes lower than its open (or on an downtick when calculated on a tick by tick basis), all volume associated with that trading period results from sellers. Although these assumptions are overly simplistic, money flow can be a useful indicator when analyzing the general buying and selling pressure on a stock. The data comes from scans performed using IQChart Real Time Version 3.21 (The total numbers for the 3% gains include those issues with 8% and 15% gains, and the totals for the 8% gains include those for the 15% gains.)

To: Jerry Olson who wrote (32991)	10/15/2000 5:33:48 PM
From: donald sew	Read Replies (1) \| Respond to of 42787

Jerry, >>>> ..i swear i'm not spamming<VBG> but all i see here is a dead cat bounce toward resistance..then we come down to see whats up <<<< Agree - Market just doesnt look great, and frankly Im not going to get optimistic over a 1 day move, as so many are. If there is significant follow-thru with significant improvement in market internals, then maybe. I will say that I will be playing for at least some sort of a retest, since on a statistical basis that has a high probability.