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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: Dominick who wrote (13614)	8/18/2001 12:41:06 PM
From: catman	Respond to of 18137

Dominick... I don't necessarily feel FA and TA go hand in hand. While I might use FA on a very superficial level to lead me to a stock (good earnings report, new contracts, product releases etc.), once I have been lead to that stock, TA takes over. I have seen some get confused about what TA is telling them by the conflicts with the FA. Your point about deciphering the fundamentals is correct... I would rather let others make the determination....and by using TA, I believe at some point it becomes apparent what the determination is. I just try to let the professionals and the rest of the crowd cast their vote as to whether the fundamentals, as stated are valid or not...The opinion of the masses have far more weight than mine...I just try to follow along and grab a little piece along the way, before they change their collective mind. Just my opinion. Scott

To: Dominick who wrote (13614)	8/22/2001 10:10:18 AM
From: Wayners	Respond to of 18137

The primary fundamental to watch is revenue growth. I've seen lots of talk for years about following other things, but when you go to check other things out on fast growth tech stocks, there is seldom any correlation between the earnings numbers and the stock price, but when I started plotting year over year revenue growth each quarter, then you could actually see the correlation. A lot of people are getting duped by the old did the company beat the analysts expectation or not and then completely miss the fact that the analyst expectation doesn't have to show any trend, pattern of growth or anything and it usually is just a number like that with no earnings predictibility or pattern whatsoever, so to me, meeting the analyst number just doesn't mean anything. Any fundamentla method that isn't backed up by a correlation with the price chart to me is suspect. I think the reason why the revenue gets followed is its a lot harder to fake the top line growth wheras all kinds of accounting games can manipulate the earnings such as reporting on a pro forma basis etc.