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 : Stocks Crossing The 13 Week Moving Average <$10.01 -- Ignore unavailable to you. Want to Upgrade?

To: Bucky Katt who wrote (7831)	2/9/2001 12:10:07 PM
From: James Strauss	Read Replies (1) \| Respond to of 13094

Thanks William: We have an interesting tug of war between liquidity driven by rate cuts and falling earnings... Right now the fear of falling earnings and the resultant slow down in demand and job growth are weighing heavily on the markets... For the first time in over 10 years people are considering the possibility of being layed off with no where to go... A look at the Nasdaq chart shows all indicators heading south... bigcharts.com I have a Linear Regression trendline sitting on the 2400 price area... Below that, a normal support trendline sits in the 2200 area... Perhaps the Humphrey Hawkins testimony next Tuesday by Alan Greenspan will help stop the slide... He's now caught between a rock and a hard place... If he is upbeat, it may send signals of not doing enough to provide more liquidity to the markets via Rate Cuts... If he is too somber, it may send signals of a hard landing... The best we can hope for is that he can sell the idea that we have just intervened in time to usher in a soft landing for the economy... Even with an aggressive rate cut cycle, there are now hundreds of thousands of people out of work who were working 6 months ago... They will be buying less and be very cautious about their long term financial commitments... This will weigh on revenues and earnings of corporate America... So, I expect rallies and pullbacks for the next 6 months until we have a clearer direction for the economy... Jim