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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?

To: Jonathan Lebed who wrote (3110)	1/18/1998 9:34:00 PM
From: Christopher	Read Replies (1) \| Respond to of 14266

Sigmund, I visited the Lizard thread. Here is what I see. People on this thread seem to be well informed. They are into price patterns(trend lines, support and resistance lines, and so forth) more then they are into indicators although they make use of MA. THQ has broken its trendline on 1/7/98 at $20.56. I beleive this is the main reason they will be shorting THQ. I have not talked to any one of them. The Lizzard in one of his memo makes it clear that he will short a stock if it breaks its trendline. I beleive Mark said he was going to be shorting THQ at $19.25(I am not sure about his name). The situation with THQ goes well beyong breaking of the trendline in my opinion. Breaking of the trendline is a sign of trend reversal. Some author say that if the price goes 3% below the trend line then the downtrend is confirmed. THQ price went from $20.56 on 1/7 when the trendline was broken to $19.56 on 1/16. This is more then 5% down. Therefore, I beleive the Lizzard thread is ready for shorting. However, I don't beleive this is the whole story yet. You remember the time I made the statement that I was not going to be posting TA info on THQ(I see so much confusion now I thought I would try to shed some light on what is going on). The reason I said that is because I saw THQ taking a dive from $23 down. Before then you remember, I made the statement that THQ was going up $3 to $4 and everybody came down on my case. If I tell you that THQ is going up and you come down on my case, do you think I have any inclanation on telling you that THQ is going down good!! I don't think so but now thinks are different I guess since everybody knows it is going down right now. Here is what I see. TA indicators showed a while back a Head and Shoulders(H & S) formation for THQ. If you have Dr. Elder "Trading for a Living" book then open your book on page 102. H & S is a dangerous pattern in which an uptrend reverse into a downtrend and the price could go down deep. However, there are few times where H & S don't succeed and I think announcement of good earning could reverse the process and help THQ. Here is a description of the H & S: The left shoulder starts at 12/02/97 and goes to 12/18/97. The head starts at 12/18/97 and goes to 01/06/98. The right shoulder is under construction under now. A H & S pattern has a neck line. When the right shoulder breaks thru the neckline the uptrend is dead. The neck line will be broken if THQ goes down below or arround $18.50. If this happen here is how far down THQ could go. The distance from the head of the H & S to the neck line is four dollars. This means THQ will go down about four dollars once the neckline is broken. This means it could go down to $15.00 or $15.50. Usually the stock will start gathering support at this point. However, THQ has what could be another right shoulder(this pattern could have three left and three right shoulders and two heads,etc.). If this is the case and another right shoulder is formed then THQ could go down to $13.00. In conclusion, the fact that THQ is very strong may help it not to complete the H & S pattern and resume its uptrend. Good earning news will probably resume the uptrend. I know that the Lizard thread are probably thinking of shorting now but waiting untill the neckline is broken arround $18.50 is the best bet or you could get hurt in my opinion. If you shorted THQ when it was at $23 then you did fine. One more thing. TA indicators look terrible right now for THQ which is not a good thing. Again, if you are a long term investor then you will survive all the ups and downs that are occuring right now. If you are a short term investor then Todd already warned you. I will be happy to answer any questions if asked in a nice way!!

To: Jonathan Lebed who wrote (3110)	1/19/1998 9:48:00 AM
From: Sigmund	Read Replies (1) \| Respond to of 14266

About Stamford and "Titan Towers". I have never been to World Wrestling Foundation Headquarters. But there is this convenience store across the street from me. It is very small and with the way it is arranged shopping there is like walking through a hallway. One day I was in there and there was this big guy blocking the way. He was very friendly so I asked him if he was a wrestler and yes he was an ex-wrestler and a current officer over at the WWF. Haven't seen him since. If I do I will ask him what he thinks of THQ's wrestling games and people who short THQI. I know a lot about professional wrestling. When I was a kid in Atlantic City we had a parking lot near Convention Hall. A high NJ sports official parked there, liked me and would get me in to watch sporting events. I sat at the orange ringside seats (folding chairs) used by reporters. One day during a ladies tag team event one of the ladies was dropped on me and the chair gave way. Two results: They changed the rules and the ladies were no longer "allowed" to dump their opponents on the patrons and I got to go into the men's (not ladies unfortunately) locker room. That was a real trip believe me. "Head and shoulders"? If this were professional wrestling we could peek at the script and know how it was planned to work out. But maybe it is college wrestling a real and truly honorable sport.