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To: H James Morris who wrote (123116)4/5/2001 11:51:28 PM
From: Sarmad Y. Hermiz  Read Replies (2) | Respond to of 164684
 
>> I think head fake, but lets see if we can get 3 days in a row.

Thanks for the article. I just don't know. Today the shorts got their nuts roasted. The short covering played a big part. But also tomorrow the pressure on margin calls will be much less. And Fridays have been the rally stoppers for over a year now. I hope we coast through tomorrow, (And roast more shorts!) Heck, I'm still below where I started the week. I need another day like today just to catch up.



To: H James Morris who wrote (123116)4/6/2001 8:40:38 AM
From: Robert Rose  Respond to of 164684
 
Interesting article hj. here's another:

------

Thomas Watts, Merrill Lynch

Watts did a study of stocks that fall under 10. The majority do not
rebound, but those that do seem to have very large growth.

Going back to 1985 and looking at over 1900 tech stocks, on
average, only 3.5% of the stocks that fell into single digits got back
to $15 or above before the end of the year.

However, after the biggest downturns, the biggest upturns follow.

Those stocks that rebounded usually had a rebound of about 180%
within 12 months. So the returns can be large for picking single
digit stocks.

Most stocks that fall below ten are ultimately bought out or go out
of business.

He bases his ratings of these stocks on how much cash they can
get, because they tend to be cash squeezed.

If LU can get through this cash squeeze, it could be set for a
rebound.

Watts' Rebound Picks:

EXDS

DIGX

Watts recommends staying away from the following single digit
stocks, thinks they are on the way out:

SWS

NAVI

INAP

MCOM

Watts thinks the future for the following single digit stocks is in the
air:

AKAM

ISLD

GBIX

GENU

USIX