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Technology Stocks : Extreme Networks, Inc. (EXTR) -- Ignore unavailable to you. Want to Upgrade?

To: Sully- who wrote (375)	10/20/2000 5:49:37 AM
From: minorejoy2000	Read Replies (1) \| Respond to of 770

Feedback request Did anyone hear/see the interview last night on cnbc fn with EXTR's CEO? Heard he looked pretty tired after what must have been a very long rough day. What are we doing here? Buying, holding, selling? Anticipating more pullback or a rebound? How much technical damage was done by all of this? I have a TA's response to my questions about a failed breakout and 2B top. I asked permission to post his answer here. See my next post for that. M

To: Sully- who wrote (375)	10/20/2000 5:57:58 AM
From: minorejoy2000	Respond to of 770

This was a TA perspective in answer to my question of a double top. This doesn't take into account reasons for some of the action due to confusion, misinformation, etc., but what about investor psychology? <<Well, the negative divergence in the RSI gave strong warning of imminent weakness, when looking at the 9/25 top vs. the 10/17 top. As I mentioned the bullish support line was at $88 and that repelled the retracement today. I don't know what your entry price was so I can't make any assessments about risk reward from here. Had one entered the stock at the proper time (moving up through the pivot point at $53 1/4), it would certainly be easier to say hold on (truthfully though, I would have taken at least half off the table on the double top). The truth is a lot of technical damage was done today. The down gapping action just isn't healthy. By best guess would be a technical bounce back up to $105 and then resumption of a newly forming downtrend. Earlier this year I bought a stock (DRAM) that behaved similarly. I knew it had broken down, but did not act on the technical bounce. That was a pretty big hit. Again, my best guess would be that, if this stock were to breakdown, it would bounce first because it is widely followed. There are currently a lot of cross currents in the market and preservation of capital is key.>> Thoughts, anyone? M