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To: Michael Greeley who wrote (1501)	1/19/1998 7:04:00 PM
From: Ms. X	Respond to of 2389

Mike, I'm referring to the sector rotation. Semi's were the first to peel off in October, reversing from 78% level down to a 22% level. (If you look at a chart, 100% is at the top (overbought) and 0% is at the bottom (oversold).) Since then, the semiconductor sector has been rallying between 20-38%. It currently is at the 25% level waiting (I hope) to reverse up. Traditionally, the sector moves from the 20% level to the 70% level. A reverse up from here could give us a move back to the 70% level. In which case, we would start worrying about it reversing down again. Sectors tell you what is happening before a stock usually does. For instance, the sector reversed in October and weeks later Intel slipped. Now the sector is firming up and so is Intel. Sector moves up, Intel and others move up. Its like an elevator. I hope this helps. I've had questions about this. Sector rotation is extremely important in market timing.