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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Jacob Snyder who wrote (106001)	10/5/2001 12:13:39 AM
From: waverider	Read Replies (2) \| Respond to of 152472

Do you have an exit strategy Jacob? <H>

To: Jacob Snyder who wrote (106001)	10/5/2001 1:01:01 AM
From: Boplicity	Read Replies (2) \| Respond to of 152472

I think you are wrong about the overhead resistance being rung out this stock. Massive amount of vol. today was absorbed without a total break down in the stock. You can see the desire to own in how the slope of QCOM stock has moved from the high. Compare it to CSCO chart which has just dived downward, whereas QCOM has had many failed rallies and is more gentle. All of that leads me to believe that a lot of scared money still awaits higher. I also believe QCOM will make into the 30's as it moves down with the rest of the market's as the market at large corrects the rally off the lows. Furthermore, you are going to need something positive to cause QCOM to join in. QCOM is a lot like the Telco sector, (LU, NT, add QCOM to those) not as bad as LU and NT, still not enough positive news to cause investors to sit up and take notice and want to own and not worry about QCOM going lower. I would think, for QCOM, the time to buy would be when negative news comes out and the stock doesn't drop after a total washout has happen. B

To: Jacob Snyder who wrote (106001)	10/5/2001 1:37:51 AM
From: grinder965	Read Replies (1) \| Respond to of 152472

Jacob, Hard to say....I think the approach you've outlined is a good and sensible one, particularly if your investing in a taxable account. Most of my QCOM stock is held in IRA accounts. This gives me a lot of flexibility as I don't have to concern myself with the tax consequences of any trades I decide to make. Commissions with discount brokers who execute trades at the best available price are low enough to make it worthwhile. Plus you need to have the time to be to keep an eye on the ticker. Generally speaking I don't concern myself with short-term news events but let the ticker and volume tell me what to do (or not do) on any given day. QCOM's stock has IMO, the smartest and slickest of all the market makers. They literally telegraph during early trading what the naz and/or QCOM the stock will do on any given day. On days when I can watch closely, I try and scalp a point or two on about one-half of my Q position. On of my most successful trading tactics occurs when Q opens lower on good volume. It usually means the Q will close nicely lower on the day. But before it does the mm's will take the opportunity to run it up if they can at some point during the trading session. This usually occurs within the first 45 minutes of trading but sometimes occurs in the middle of the day. I sell into that strength and buy back later in the session. Another favorite play is too sell into strength during the middle of the trading session when some analyst comes out and reiterates their strong buy recommendation which results in a little temporary boost in price. I then buy back later in the day at a lower price if I can get it. Another pattern that I've found pretty useful is the the Q's ability to predict how the naz will do later in the day. When there's no apparent news that could affect how it is trading on a daily basis, it's a pretty reliable proxy for the naz. For instance, if the naz is up nicely but the Q is trading flat on average or low volume, the naz will usually give up its gains later in the day. I've done OK this year. In fact I've left quite a bit on the table because I choose to be invested most of the time and, rather than be greedy, I take my point or two when I get it figuring I'm ahead of the game as compared to having done nothing but watch the mm's and day traders profit from the daily volatility in a market that is moving sideways. The mm's are thieves and will run stocks up and down triggering stop losses and buy stops all day long if the institutions let them. One of the problems these days is lack of liquidity to sustain a legitimate 6 1/2 hour trading session. Given that the bubble has burst and volumes are lower, the nasdaq ought to cut back the length of the trading session IMO. But they won't because they're greedy. I would guess that as much as 1/4 to 1/2 of todays volume figures on the nasdaq are trades crossed between mm's and daytraders buying and selling. Also all volume figures are double counted when the shares trade on the Nasdaq. Thus a day when volume totals 20M might only actually see 5M shares trade hands. If we see Q down nicely again tomorrow on heavy volume, then there's some big piece of big bad news out there that we don't know about or a concerted attempt by shorts to drive down the shares is under way. If we see it, I would give a higher probability to the latter as opposed to the former. The shorts were forced to close a lot of positions during the last two sessions and may now be back targeting Q.