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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: bambs who wrote (2515)	3/22/2001 5:24:24 PM
From: flint	Respond to of 74559

77 million people over the age of 50. The stock hypers age 25 to 35 was a fraction of that. Add the difference in net wealth between the age group and I think there is a diffenit existing of money on the horizon. Census number came out 3/20/01. flint

To: bambs who wrote (2515)	3/22/2001 5:50:23 PM
From: tradermike_1999	Read Replies (2) \| Respond to of 74559

The semiconductor companies have horrible fundamentals and their stocks are total garbage. Don’t believe me? The chairman of Intel said today that he has no idea when demand for chips will pick up: "We don’t know how long this slowdown is going to last. It may last six months, 12 months, or 18 months...I would be hopeful that we’re near the bottom, and there’s some degree of stability, but nothing surprises me in this market. Nobody’s ever seen this before, it’s uncharted territory."You have to be insane to buy these stocks as an investment now, yet they are showing the most strength in the market. What is happening is that it is the only sector in the Nasdaq with any strength to it so everytime people on CNBC call a bottom the bottom guessers and drunk gamblers and daytraders buy semiconductors because they are acting the best. Problem is we won’t have a real bottom until people stop trying to play it every few days and until the SOX falls to a rational valuation level.Back in the fall and winter we saw similar action with the biotech index. The biotechs were outperforming the market and everytime there as a bounce they would go up more. People would look at the biotechs go up and say, "see there is strength in the market everything is ok." Well look where the biotechs are now. The same thing is going to happen to the semiconductors. The fact that the SOX can go up so much on a day like this means that there is still a lot of speculative money in market that needs to be flushed out before a bottom comes