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Technology Stocks : Creative Labs (CREAF) -- Ignore unavailable to you. Want to Upgrade?

To: BZOOKA who wrote (5983)	11/21/1997 3:30:00 AM
From: ronco	Read Replies (1) \| Respond to of 13925

Lets see, TAs looking good, fundamentals strong as ever, tech momentum giving us a "trend is our friend" posture, AMAT hit a 3 pointer which was called a 1 pointer at first, too late for the after market to interpret the variance on AMAT, we didn't rally with the rest of the techers today, wowsies pretty much backed out with plenty of the right stuff and more to come; am I babbeling? I don't know, many believe that it has already had a good year and that mms wont let it do much more - yea right. This company is so strong, it wont take much to blow the capp off this one. Actually, I think we could have a mediocre down day or two and this willy is gonna shake. I think the rumble will be heard from miles around and this should be about the time we hear that the sky is falling. GO CREAF dave

To: BZOOKA who wrote (5983)	11/21/1997 9:57:00 AM
From: Jon Tara	Read Replies (1) \| Respond to of 13925

Bzooka, I am using Metastock. I show a stochastic reading as of yesterday's close of 35. Below 20 is oversold. I don't know what parameters Telescan uses, but one must realize that a Stochastic is not a Stochastic is not a Stochastic. I use a 5-period %K with 3-period slowing, 3 period %D. This is the default for Metastock, and pretty standard. This is a popular set of parameters, but so is 14 period %K with 4-period slowing, 3-period %D. When I plug this in, I do get a reading similar to yours. It also seems to be pretty reliable at calling short-term tops and bottoms - BUT it provides false signals as well (look at April through June, when it falsely called two "tops".) The shorter period stochastic is more sensitive, but requires more interpretation. It can't be used alone as a buy/sell signal, but neither can the longer period (look at April-June again!) It will give you more advanced warning (because of the shorter %K) and will show you the tops and bottoms of smaller swings.