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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: Harold S. who wrote (22358)	11/10/1997 3:08:00 PM
From: vegetarian	Read Replies (2) \| Respond to of 61433

There are better methods but I will just describe a simple one. Take a look at ASND chart and that will provide some idea. quote.yahoo.com The chart has been going down fairly rapidly since it went below 30. Before ASND starts going up it will need to consolidate and that pattern would be amply evident on the chart to generate a buy signal. (I hope nobody tells me here that ASND will do a V shape turnaround because that ain't going to happen after the events in the last 2 months.) It may make a U shaped rounded bottom, or a cup and a handle, or a rectangular consolidation before it starts turning back up, that would give an indication to cover the short or buy for the long term. I also think that there will be enough time for those who read price-volume action to see that a turnaround is occurring and does not have to be done in a hurry intra-day. With the current price action it does not seem to be a great time to buy because the price has not stabilized. That may provide part of the answer.

To: Harold S. who wrote (22358)	11/10/1997 3:13:00 PM
From: Harry Ehrlich	Read Replies (2) \| Respond to of 61433

Sorry, I'm not one of the more knowledgeable shorts, but I am short. I intend to cover, as there is a possibility that the stock will move towards 30 at options expiration (25 at least). My signal to cover will be volume. The typical morning pops do not represent much of a threat. The low volume pops sell off very quickly. When I see 2,000,000 shares at 9:45, I will begin to sweat. Interestingly, the last high volume move sold off as well. This was the "Lucent buyout" rally, right before expiration. So, I will cover on volume, prior to expiration. Most likely, my next move after that would be to sell short into the rally (again). Harry