Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Teri Garner who wrote (116324)	11/8/2000 4:49:36 PM
From: jjetstream	Respond to of 120523

Thx...

To: Teri Garner who wrote (116324)	11/8/2000 6:29:05 PM
From: Jenna	Read Replies (2) \| Respond to of 120523

<font color=maroon> SHORT TRIGGERS: RBAK, MANU, BEAS, CFLO, JNPR, TXCC 15-minute charts after 11:30... 5 minute in the 9:50-10:10 reversal period. This is THE MOST IMPORTANT reversal period you can find...Only the 3:00-3:30 reveral period is near in importance and ironically will USUALLY parallel the 9:50 - 10:10 reversal period (i.e. stocks that are up in this period, will MOST LIKELY be up in the 3:00 -3:30 reversal period)... That is why I would use the 5 minute charts in the morning to make sure an uptrend is really that and not an BEARISH FLAG PATTERN which it was today. By 9:45-9:50 it was clear our "blimps" were on the move once again to the downside. We added two two blimps today - MANU blimp and CFLO blimp. RBAK, TXCC, JNPR, BRCM, BEAS were all continuing blimps. "Minor Blimps" were added like TXCC when it was clear this was only going in ONE direction. How did we know? You have to know the key reversal moving averages, support/resistance lines (Minor as well as major).. Once a major support trend in a downward trading stock it pierced to the UPSIDE, that support becomes minor resistance( i.e. a key 200 day moving average in a downtrending stock is pierced and the stock looks like its heading back TXCC broke its 200 30 moving average on Tuesday at 45 1/4 and closed at 48 15/16 For all intents we have a 'bottom' and everyone is happy that TXCC is on the mend. MAJOR MISDIAGNOSIS ONE DAY does not make a trend change. TXCC should have CONTINUED up ABOVE 48 15/16 TXCC opened at 49 3/8 but before even 5 minutes of trading were over (basically just some buy orders were accumulated on the desk) 47 9/16 and the direction continuing. By 9:50 TXCC was trading 47 3/16 taking out a 3 5-minute bar consolidation to the downside. What did we have? That 200 day major support of 49 became MINOR RESISTANCE.. which WAS NOT pentrated..and offered a KEY SELL SETUP when TXCC upward move was STOPPED and a sell short was triggered instead. PMCS was in such bad shape we only wanted it to take out the 20 period moving average of 127 and move up from there. Volume had picked up on Tuesday late and it MIGHT have continued. That was not to be either.. PMCS had the same disappointing reversal period. It opened at 130 13/16, on a small gap up but PROMPTLY revrsed in the first 5 minute bar to close it at 127 13/16. Again not a real open, but buy orders piling in from pre-market gave a fictious idea that PMCS was really gapping up when after those few suckers had their buys filled, PMCS moved to its rightful status of "POS".. blimp in a strong downtrend. Rallies to be shorted, unless a significant trend was established. 2 5-minute bars in a severly downtrodden stock DOES NOT make a REVERSAL.. This stock is not ANF or TGH after its earnings report. PMCS (i.e BRCM, BEAS, JNPR, etc are stock that is officially in a DOWNTREND.., a TRUE SHORT CANDIDATE on rallies) FIRST REVERSAL PERIOD - SHORT TRIGGERS By 9:50, CFLO, JNPR, BEAS, MANU (not a POS but just overbought), were all added as short triggers. CONCLUSION Lots of POS (piece of s_ _t) stocks all have that occasional move before continuing on their merry down way. Lately (in the last 5 weeks our BLIMPS - overvalued stocks were formally initiated as POS stocks). They follow the same strategies. TXCC