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

To: Johnny Canuck who wrote (35435)	12/6/2001 5:08:17 AM
From: Johnny Canuck	Read Replies (2) \| Respond to of 69129

Bear Steak Anyone By Magician - BuySellShort.com 12/5/2001 WOW! What more can one say about this market. Talk about a rally, a strong rally to boot. Right from the get-go the fundies were buying everything they could, assuring that both the Dow and Nasdaq would breach their respective psychological resistance zones. Shorts who did not heed yesterdays warning signs of a market ramp were cooked today. Stronger than expected NAPM data gave Bulls all the reason they needed to enter dreamland and chase stocks like the old days. What is funny is that the recent economic data which has shown record gains only brings the economy back to its PRE-9/11 state. Think about it. Look at some of the valuations out there and be very careful. The market is trading on liquidity and hopes, not reality. With that being said traders trade the trend and for now the trend is up! As usual CNBS (not a spelling error but a statement of fact) was parading the usual bullish analyst clowns who always say buy the tops. Traders should not be surprised if we get a sizable dip in the morning. However, it may be prudent to buy said dips. The Vix has yet to hit our target short point although the VXN is now almost at its low point. We are in a dangerzone here so traders should tune out all the BS from the hypster analysts on TV. Traders should have been selling their large-cap stocks today and moving into laggard small caps as this is where Joe Average who listens to the crap on TV tonight will put his money tomorrow. Remember, trade the trend, don?t fall in love with it cause if you do you heart and wallet will be broken! Of note is that ALL sectors closed higher today on above average volume. Last night?s newsletter was as usual chock full of winning plays. Of course all our longs were winners (GMGC flat) but a monkey could pick winners on a market ramp day such as this. BuySellShort.com also profiled 3 short plays: NTLO ? down 5%, ASCA ? down 5% and EBAY down 2%. That, we can talk about! Tonight?s newsletter will be brief but we do have a stock we think should perform nicely tomorrow. CELL, is a provider of outsourced services in the global wireless telecommunications and data industry. The stock is cheap and typically rallies hard the day after a large Nasdaq rally. With many wireless stocks outperforming the market of late CELL is due for a run of its own. Volume has been absent of late but should pick-up as traders look for cheap laggards. CELL is cash-flow positive and should pop near term. We are looking for the stock to move to the mid-to upper $3?s tomorrow. Keep your eye on CELL. The stock has solid support at the $3 level and has been under quiet accumulation for the last few days. CELL chart to consider: stockcharts.com[h,a]dhclyimy[pb15!b30!b50!b200!d20,2!f][vc60][iUb14!La12,26,9!Lh14,3!Lk14!Lg] GMGC was heavily manipulated today as the company?s recently announced "investors" continued to cover their shorts. We are looking for the company to release news tomorrow or early next week regarding its news Enterprise Platform voice product. Typically GMGC has high volume and then pops on a press release. As GMGC needs more financing early next year we expect a pop to the $0.50 to $0.70 area where said "investors" will yet again short and then cover with discounted shares. All speculation on our part but it is easy to read the tea leaves with this stock. GMGC has a nice chart that says bounce coming. GMGC chart to consider: stockcharts.com[h,a]dhclyimy[pb15!b30!b50!b200!d20,2!f][vc60][iUb14!La12,26,9!Lh14,3!Lk14!Lg] If you have any comments or questions regarding this commentary you can contact me at Magician@BuySellShort.com