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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: Tom Trader who wrote (28314)	11/13/1997 12:20:00 PM
From: MtnMan	Respond to of 58727

Hi Tom- Since the market is drifting at this point, I'm curious if you have an opinion on if the bull market trend has been broken an if so at what point (not the exact day, but the week) and what chart pattern existed at the time, OR, if this break in trend has not happened, what do you think it will look like (for academic purposes only). It's interesting to hear various people opine about the conditions that have to exist before there is a top and it just seems too pat. For instance, IMHO I think we may be a period of revaluation of earnings, not that earnings will drop or that the rate of growth will decline (although these things could be a factor) but that PE ratios are historically too high and people are just not willing to pay them anymore. It seems to me we could have a adjustment in the value of the market without a significant decline in the overall health of the economy, just on the basis of lower PE ratios. I am amazed to see stocks like WDC suddenly "worth" less than half of what they were a month or so ago. Any feedback? -Neal