Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Logain Ablar who wrote (43427)	7/18/2006 8:38:31 PM
From: Johnny Canuck	Respond to of 68651

Outlook Remains Clouded for Chipmakers Monday July 17, 4:27 pm ET By Christopher Wang, AP Business Writer NEW YORK (AP) -- With expectations of an economic slowdown having demolished confidence in the chip sector, chances are likely that the upcoming round of earnings reports will do little to win over investors. ADVERTISEMENT Semiconductor stocks have suffered so far this year, haunted by concerns about the drag of soaring energy prices and higher interest rates on consumer spending. And as companies trim expenses to adjust for slowing growth, tech spending is typically among the first to go. The scene has not been pretty for investors. The Philadelphia Semiconductor Index has tumbled almost 23 percent since early May, shortly before an inflation scare triggered a steep decline on markets around the world. The Nasdaq composite index has lost about 8 percent in 2006, with industry leader Intel Corp. at its lowest levels in more than three years. A sales warning earlier this month from Advanced Micro Devices Inc., the No. 2 computer processor maker behind Intel, didn't help the situation. AMD pegged its second-quarter revenue at $1.22 billion, up 52 percent from the year before but well below analysts' estimates of $1.31 billion. Analysts said AMD's warning confirmed indications of weakening demand for personal computers, although some of that pessimism was previously discounted in its stock price. AMD shares are down 40 percent from a recent high in late May. "We think AMD's miss had more to do with weaker market conditions than Intel competition," Christopher Caso, a Friedman Billings Ramsey analyst, wrote in a research note. Computers are slowly accounting for a smaller share of the overall chip market -- about 44 percent of sales in June, according to the Semiconductor Industry Association. Much of the industry's recent growth has been fed by cell phones and mobile devices, which were 17 percent of sales, while consumer products like MP3 players and digital camera reflected another 17 percent of the total amount. But with rising gasoline prices and lending costs threatening consumers' wallets, the near-term outlook for semiconductor manufacturers remains clouded. Some analysts said chipmakers ultimately may not get a clearer picture until after the back-to-school and holiday retail seasons. "While I see present demand for consumer electronics as healthy, it is more apt to dip than rise," said Tom Smith, a chip analyst at Standard & Poor's. "Demand looks good now but we're thinking it might tip lower into 2007." With such uncertainty, analysts and investors will be paying particular attention to forward-looking guidance when many of the major semiconductor companies post their quarterly results this week. Several analysts expect Intel to post sales near the low end of its estimates and temper its guidance when the company reports Wednesday afternoon. AMD's earnings, due Thursday afternoon, will reinforce what Intel reports. Meanwhile, results from Broadcom Corp. and Microchip Technology Inc. Thursday afternoon will provide clues about other segments of the industry. "Fundamentally, I think the industry is healthy and robust in some ways, but not apt to become more robust because we seem to have a limit on global gross domestic product growth," Smith said.

To: Logain Ablar who wrote (43427)	7/18/2006 8:49:13 PM
From: Johnny Canuck	Respond to of 68651

There are some fairly strong support levels coming up on the SOX not too much farther down from these levels: stockcharts.com COMPX seem to be at a strong support level with the next level at 1910/1920. stockcharts.com While I agree that the 50/200 cross is a cross of death and an indicator of more down side to come. The PnF chart indicates it is still in an up trend longer terms, so RTS's bounce theory is still very much in place stockcharts.com Same thing with the Dow components: stockcharts.com

To: Logain Ablar who wrote (43427)	7/18/2006 8:52:53 PM
From: Johnny Canuck	Read Replies (1) \| Respond to of 68651

In the hot Vancouver real estate market, we are finally seeing it take longer to sell real estate. Listing are no longer gone in a weekend and no one is putting in unconditional offers anymore. I still see lots of condos being built. There are 2 towers alone going in to the low rise neighbourhood where I live. Street parking is going to be a zoo in a years time. Personally I think twice about the price of gasoline also. It is not enough to effect my lifestyle, but psychologically I do a double take everytime I fill up.