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Strategies & Market Trends : Market Gems-Trading Strong Earnings Growth and Momentum -- Ignore unavailable to you. Want to Upgrade?

To: Aj-Ruk who wrote (5465)	2/27/2001 10:53:22 PM
From: Dave Gore	Read Replies (2) \| Respond to of 6445

AJ, You are right - this has to end, but that is not enough apparently to persuade people (especially those Fund Mgrs.) with lots of cash to go long and hold, or buy the dips, yet. They've been burned calling the bottom before. The shock that the first two Rate cuts did not calm the Markets now has everyone wondering where the bottom is. We even have historical evidence that after the third Rate cut (which we know is coming) the market historically rallies. Still the selling swamps the buying. Even when we were in bona fide recessions, the Markets rallied. Why do we think they won't this time? Does it really matter whether AG cuts this week or on the 20th in the bigger scope of things? Of course not! Some tech companies warn that they will "only" grow by 15-30% this year, or 80% instead of the expected 100% (as opposed to that 5% steel company's growth) and everyone overreacts to the tech stocks. Why?. Somehow, we have turned into a society where we expect instant success and cannot tolerate losses or failure. It's partly ego and bragging rights, and partly more people quitting their day job and being under pressure to earn a living in the Market. Patience is not a virtue anymore. It is even frowned on now to hand someone a resume that shows that you were at the same job for more than 2-3 years. It tells them you are not "trying to improve yourself" or that "you obviously don't like change". It all really makes little sense and that is why the Market frustrates a logical and somewhat reasonable person like myself. I can usually tolerate it and just follow the tape, but I hate seeing so many investors lose so much money. Today caused me to vent, partly because I don't like the type of society we have become, I think. Also, partly because the Market becomes doubly hard to predict when logic and reason goes out the window, where it has been for about 3 years, at least. Anybody know a good joke? <g>

To: Aj-Ruk who wrote (5465)	2/28/2001 8:31:41 AM
From: Jenna	Read Replies (1) \| Respond to of 6445

<<when everything seems to hinge on what one report or man will say, and when we don't even know if news is good news or bad news and have to depend on someone else to "Spin" it for us, then it's getting a little obscene. >> Dave, that is so true. I wake up in the morning not thinking okay what sector will we tackle today, but what bad news now do we have to scan so we don't plunge headlong into a downdraft. You speak of level II, and I agree, but what about the real time time news and premarket. Without those you can't survive either. You have to almost be a pro at BOTH level II and everyone who invests should have to have to tap in to real time news and that is absurd of course. But if not they are "eaten alive".. I have a few GOOD swing trades, and only from the STRONG sectors like healthcare sector, financials, some energy (ENZN, ADVP, SLVN, EMBT, EDMC IMNX EOG EPG and that group) however they did whet the pallet and the gains are missed sorely. ITS THE FACT THAT WE COULD HAVE HAD EVEN SOME SWING TRADES THIS MONTH IS VERY, VERY HEARTENING. That's where I get the feeling we will change this negativism, only we have to look at other sectors, especially for traders. Traders must look at the opportunities in other strong sectors, so when the tech sector is down they have other plays. Not a lot but we don't need a lot one or two swings a week is quite enough. We just finished a swing on IMNX, IVGN, ENZN, SLVN and before that we had CIMA, EMBT, PLAB, IMGN. They are there and traders have to make that little extra effor to find them. Sure if ALTR and QCOM are down day after day, everyone is depressed but have you checked the charts of IMA, RX, LH, ADVP, LNCR, etc. At least the BEGINNINGS for change are there. Before that there was EPG, EOG, BRR, MARY (until it turned but it took a few days). So I do think that the future for traders is NOT IN SCALPING..or even shorting, but for swing trades and as I said long term daytrades, where you can park you money much of the DAY and watch it but not buy/sell/buy/sell/buy/sell all in one day, that's not what trading is about. We've lost the true meaning of trading somewhere along the line not just investing. I hear snippets of conversation in the room "I was in xxx 6 times today finally grabbed some profit"... and on SI. I have never been 6 times in a stock or 4 or even 3, never had to. We do have to look at the positive and although its very true, we shorted the heck out of the high P/E stocks when it was not even the fashion to COMPLAIN about high P/E and went on and on about the BLIMPS in September and heightened our posts in October. Now that stocks are back to better valuations, I'm concerned that it won't be the shorters that we have to be concerned with, but ordinary traders and budding investors who will bring stocks like BRCM, BRCD up 19% a day and then the cycle will begin. This doesn't happen with other sectors.