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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Logain Ablar who wrote (35110)	11/12/2001 4:28:25 PM
From: Johnny Canuck	Read Replies (2) \| Respond to of 67825

I don't disagree with you on the telecom space having a headwind. On stocks like AVNX, I am looking at them as low price lottery tickets without expiration as Suresh pointed out. They have 12 new development contracts, a low 10 mil per Q burn rate and over 190 mil in cash. I don't like them as much as $6 as I did at $4 though. From a survivability point of view and potential upside gain, I like them more than JDSU at this stage. In the case of telecom, I am investing rather than trading, so I am buying them when they are hated the most. The thing to remember is that despite the reduction in cap ex we are still taking about 100's of billions of dollars in spending. It has to go somewhere. Gig-E seems to be gaining traction is the only reason to be holding MRVL as commented on by CSCO, EXTR and RSTN. Even that may change as there seems to be some question about pricing of GigE service over T1/T2 access, at lest in North America. Most GigE sales seems to be outside North America at this stage. There is some risk. I also am looking at ESST as DVD players have reached a critical price point, where we should see traction in consumer sales.