Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : High Tolerance Plasticity -- Ignore unavailable to you. Want to Upgrade?

To: ItsAllCyclical who wrote (10174)	11/2/2001 11:45:14 AM
From: jim_p	Respond to of 23153

JimL, Here is a report from BCA which agrees with your position: Technology Sector: No buy signal from technical indicators Fri Nov 02 08:39:00 2001 EST Over the past year and a half, the sector has lost two-thirds of its relative value and breadth has declined sharply (see chart). Since the beginning of October, the tech sector has outperformed the global market by 12.5%, but we view this as a counter-trend bounce, not the start of a cyclical uptrend. First, the relative performance line is still below its 26-week moving average, signaling that the downtrend has not been broken. Secondly, both our breath measure and the 52-week rate of change of relative performance are in deeply negative territory and have not turned up. It would require a breakout in these three technical indicators, and more importantly, the improvement in the fundamental backdrop for us to change our view on the technology sector. Conclusion: Stay underweight the global technology sector Jim