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Strategies & Market Trends : Guidance and Visibility -- Ignore unavailable to you. Want to Upgrade?

To: keithcray who wrote (11478)	8/19/2001 7:17:20 PM
From: Teri Garner	Read Replies (2) \| Respond to of 208838

Going the Distance to Prop Up the Tech Market By Bernie Schaeffer 8/17/2001 8:44 AM ET If you're a regular reader of my market commentaries, you know I'm not one to dismiss conspiracy theories out of hand. And I admit this trait can be quite dangerous for me as a trader, as it is very easy to blame "them" during periods of disappointing trading performance instead of properly taking responsibility for my results. But I also believe clandestine forces are always at work in the market and that the most powerful of these forces have agendas that are often very damaging to the average trader or investor. So you must try to develop an understanding of who these people are and what they want. Right now with the threat that the low end of the four-month trading range that has engulfed this market will give way, I see two forces at work in a "strange bedfellows alliance," united by their strong desire to forestall a downside break of this range. The first force needs no introduction. Does the word "Maestro" ring a bell? Yesterday at midday, as the S&P futures threatened to take out support at 1170 I (half-jokingly) commented to our traders that I wouldn't be surprised to see the Fed do a pre-meeting rate cut to support the SPU's if they broke. Let's put this force in perspective. Does the degree to which CEOs of tech companies with no earnings and no prospects of earnings growth will routinely say anything, do anything or promise anything to prop up their stocks at earnings reporting time shock you? Then be advised that this CEO stuff is chump change compared to Greenspan's ardor to prop up the Nasdaq before the next leg down destroys what is left of consumer confidence. schaeffersresearch.com