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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: hmaly who wrote (143692)	3/28/2002 4:06:43 PM
From: tejek	Respond to of 1584052

Ted Re.........I am unclear why that connection would cause them both to drop. Watching TARO closely.....its trying to bottom<<<<< You were right in that it would go down to $28.50. I still am trying to figure out how you knew that. You have to look at its chart. In the past two months, TARO has experienced two major dips. The low on the first one was $28.65. The low on the second was $26.95 or a lower low. Whenever there is a lower low like that, the market will want to retest that low to make sure it holds. Today, the low was $27.56, so it appears it was a successful retest. I bought at $28.10; however, it may do another retest before it moves up. The other thing you need to look at is the long term direction of its share price by looking at a long term chart [more than one year]. TARO looks to be forming the handle portion of a cup and handle formation. Knowing that makes TARO a more interesting long term hold. The reason being is that when it finishes forming the handle, it should pivot out and move up in price. The cup and handle has been under formation for almost a year. During that time, TARO's earnings and revenue growth have accelerated so that by the time it gets to its pivot, the fundamentals will support a higher share price. People scoff at TA formations and the like........but there are sound reasons for their formations. Fast growing companies get ahead of themselves in terms of share price and by developing these formations growth in the share price is slowed, giving fundamentals time to catch up. According to my news bulliton at Datek, Taro dropped on rumors of increased competition from one of its generic creams. That makes more sense.........some guy was saying it was because the FDA turned down WPI on one of its bladder creams. I sold some my other positions, and I bought it at 29.33 av. early this morning, so I jumped the gun. Part of the reason for the low prices on Taro is that Taro is based in Israel, and all of the bombings are making investors nervous. Thanks for the info.......I missed that TARO was based in Israel. I will have to check where there plants are located. That will determine if its a long term hold for me or not. Do not be surprised if it does a retest of today's low.......it probably won't but then again stocks can be very unpredictable. ted

To: hmaly who wrote (143692)	3/29/2002 1:31:46 AM
From: tejek	Respond to of 1584052

You were right in that it would go down to $28.50. I still am trying to figure out how you knew that. According to my news bulliton at Datek, Taro dropped on rumors of increased competition from one of its generic creams. I sold some my other positions, and I bought it at 29.33 av. early this morning, so I jumped the gun. Part of the reason for the low prices on Taro is that Taro is based in Israel, and all of the bombings are making investors nervous. Harry, I just looked at Briefing.com........TARO's cream is the generic version of SGP's Lotrisone cream. The rumor going around this AM was that SGP is bringing out their own generic cream. I am not sure the rumor has validity.....why would SGP compete against itself, stealing sales from its not generic product. However, its one of those rumors that's just clever enough that it raises investor concern and for which you can't get a quick answer.........sounds like a bear rumor to me. ;~)) ted