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Strategies & Market Trends : Strictly Buy and Sell Set Ups -- Ignore unavailable to you. Want to Upgrade?

To: Peter van Steennis who wrote (67)	10/18/2004 12:47:05 AM
From: kodiak_bull	Read Replies (1) \| Respond to of 13449

Peter, I may be the only one up at this hour, and RRI has always been a friend of mine. Several months ago I said that RRI had entered into a channel, 9.80 ~ 8.80 and would stay there until deciding which way to pull out. Longer term the trend was up, but it wasn't clear at the time which way it would go. Now, technically I think the trend is still up, but stronger now, and this time getting through 9.80/10.00 will be good to establish the level as future support. If you look back to August and September, you can see that RRI struggled constantly with the 9.80 line, but once October got started it sliced right through. It appears to have dropped back below for a little goodbye. So, if RRI is of interest to you, for the first time in several months it is looking like a good long. The good news is there is no significant resistance above RRI until you see $13. These ideas are fairly long term in scope, however. Shorter term I think the chart finally looks better as well, and my guess is RRI will start carving out a home in the $10-$11 range. Kb

To: Peter van Steennis who wrote (67)	10/18/2004 1:59:19 AM
From: jim_p	Read Replies (1) \| Respond to of 13449

Peter, Good question. The reason I bought back in early was because I expect RRI to announce the terms of a debt restructure by the end of the month which should result in another credit upgrade. Also the stock is lower from when it's credit was just upgrade not very long ago. RRI is still very under valued and they are continuing to perform well according to their game plan. RRI's peers have already announced poor earnings due to cooler weather and the market should have priced in the expected poor results for RRI's 3Q by now?? I also feel the size of the gains from the sale of the hydro assets should overwhelm any disappointment in the 3Q weather related poor results. My main concern today is the market in general, but I'm only about 20% invested and hoping for a good old fashioned October panic to buy some nice stocks cheep. 2005 and 2006 earnings projections were way to high even before oil went from $40 to 55.00. Oil is placing a lot of pressure for the market to recognize the obvious need for a major correction in future earnings expectations. JMHO, Jim

To: Peter van Steennis who wrote (67)	10/18/2004 8:44:36 AM
From: chowder	Read Replies (1) \| Respond to of 13449

Peter, I agree with KB. I think this is as good a time to buy into RRI as has existed in several months. I think the trading range has been raised and the indicators are suggesting that demand is picking up. Your time frame for holding would determine how much of a stop loss to accept in the event RRI decides to head south. Buying off the 50 day moving average is usually a good strategy on a risk vs reward set up. If the price closes below the 50 dma, you close the trade with a minimal loss. This is a good spot for the disciplined trader to pick up a position. stockcharts.com[h,a]daclyiay[pb50!d10,1!f][vc60][iut!Lc20!Lg]&pref=G dabum