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Technology Stocks : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?


To: Donald Wennerstrom who wrote (28103)1/23/2006 7:21:04 AM
From: Sarmad Y. Hermiz  Read Replies (1) | Respond to of 95598
 
>> I think you are both right. INTC could fall even further ....

Don, institutions are always right - by definition. At least in the short term. When they sell en-masse, the stock price always falls, and then falls further. The questions for us, scrounging for crumbs on the margins, are: when will institutions stop selling ? and will they ever buy again ?

A few months ago, some postings addressed the question of how many days does the sell-off last ? My own experience is 3 to 5 days. Especially on heavy volume. But one can look at the rate of volume decay to project when it will return to normal levels. Especially when the sell-off is capricious, as in "company makes $16B operations cash flow in one year, stock drops 25%".

Anyway, for INTC, First day vol was 300m shares. Second day 200m. Third day 150. Average is 50m. It may take a day or two more. But the deacy is rapid. So I think it is safe to buy. And as far as the second question of "will inst. return to buy mode?", there is no doubt. That part is as you said, a slam dunk yes.

Sarmad



To: Donald Wennerstrom who wrote (28103)1/23/2006 12:28:53 PM
From: sixty2nds  Read Replies (1) | Respond to of 95598
 
I think you're on to something but it is too early for me.....09:33 INTC Intel downgraded to Mkt Perform from Outperform at Bernstein - Bloomberg (21.74 -0.01)