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To: UnBelievable who wrote (38126)	5/7/2002 7:09:05 AM
From: Robin Plunder	Respond to of 209892

UB, one way to approach this bear market, which I think many here have done, is to buy gold stocks while holding some short positions in techs. I am about 80% gold and 20% short in my account where I can be short. My IRA is in bonds, because I don't have a choice of gold fund or bear fund in that account. The golds may get hurt in a bear market rally, temporarily, but have generally behaved well even during their 'corrections' in the last few months. The shorts often have well defined 'cover' points, eg, many have descending triangle formations, such as BRCD, BRCM, EMLX. If they rise above the preceding local high, that would be a signal to cover. If they rally but don't go above the preceding local high, they are probably just working through their descending triangle pattern. Similarly, QLGC and AMAT have been tracing out a head and shoulders for the last couple of months. As long as a rally does not go higher than the right shoulder, the pattern remains in effect. If one shorts at the neckline,the maximum loss is the distance from neckline to top of shoulder, in general. But it would take quite a rally to drive the stocks above these H/S points, which seems unlikely here. The H/S pattern is very reliable, I think the odds favor the buyers staying away until the H/S bearish pattern implications are expressed in the prices. Robin