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Technology Stocks : Full Disclosure Trading -- Ignore unavailable to you. Want to Upgrade?

To: Jacob Snyder who wrote (9742)	2/3/2005 1:33:43 PM
From: Sam Citron	Respond to of 13403

Jacob, Could you explain your rationale for this paired trade? Tnx, Sam

To: Jacob Snyder who wrote (9742)	2/3/2005 2:38:44 PM
From: Jacob Snyder	Read Replies (1) \| Respond to of 13403

AMAT Bought 2000 @ 16.05 By making a paired and offsetting trade (= a long and a short, of equal $ amounts), I eliminate market risk. I have no opinion at the moment, about which way the market is going, so I'm not willing to go net short or long. This is a small trade; I am still almost all cash. AMAT is, imo, less highly valued than NTAP at the moment. I value AMAT by P/S, and AMAT currently has a P/S of 3.3. NTAP I value using PE, and it currently has a PE of 63. AMAT is getting into a reasonable P/S range (= 1-3), while NTAP is well above its reasonable PE (= 20-40).

To: Jacob Snyder who wrote (9742)	2/16/2005 10:06:37 PM
From: Sam Citron	Respond to of 13403

OT Jacob -- For a little while on that rocky opening it looked like that tight little pennant formation in NTAP was going to completely break on the downside, which most TA's consider quite unusual, since the pennant is supposed to be a continuation formation, but NTAP gathered steam all day long and pulled back from the $30 abyss. bigcharts.marketwatch.com Wishing you continued success with the position. Sam