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Strategies & Market Trends : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Chris who wrote (4919)	1/19/1998 5:02:00 PM
From: Ming Z Chen	Respond to of 42787

Chris: thanks for the reponse and explaination. today i just saw NVLS report good E and strong booking. since NVLS is one of the biggest customer of AEIS, i am thinking of buy AEIS tomorrow(if NVLS open higher and without any down grade). my entry point is about $13 (assume not gap open) with stop $11 3/4 and initial resistance about $15 1/2 and 2nd resistance about $22. i know semi eq will likely be hostage by s e asia situation. but near term could have a rebound. and AEIS have been beat E est 4 or 5 qt in a roll and likely to beat E est again if NVLS and AMAT shipment is strong. like to have your opinion on my plan entry, stop and resistances point hope i set at the right place. Thanks Ming Chen

To: Chris who wrote (4919)	1/19/1998 9:28:00 PM
From: STOCKGURU	Read Replies (3) \| Respond to of 42787

What is Technical analysis ? It is nothing but trying to predict future behaviour of the stock price by analysing the behaviour of the stock in the past. This could be a very good way to predict the direction of the price movement of a stock if the price of the stock was only a factor of the internal variables( product innovation, management,marketing,corporate culture,quality of employee etc)of a corporation. Most company's behaviour is cyclical. But a company's performance depends a lot on the external market forces also. And the marketforces are not cyclical. They are random events happening at different parts of the world. These random market forces affects the performance of an individual corporation a lot. That is the reason why technical analysis is not correct all the time.For short term marketforces are more or less constant so technical Analysis is good for short term price prediction.It is not very good for long term prediction.