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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: peter grossman who wrote (13961)	1/29/1998 1:48:00 PM
From: Alan Aronoff	Read Replies (2) \| Respond to of 29386

Peter, My fresh fish sensor started heating up as ANCR managed to climb and hold at its 50 DMA. The sensor went full on today as ANCR crossed $6. Regardless of the seemingly low volume, I can only explain the action as "buying before the news." And with regard to the volume. I just checked the average daily volume during the May-Oct '97 rally when ANCR went from $4 to $11. The 30 day moving average for volume on May 1... 124,000 June 2... 112,000 July 1... 125,000 August 1... 184,000 September 2... 212,000 October 1... 165,000 November 3... 182,000 As one can see it did not take a lot of volume to propel ANCR significantly higher over this period.

To: peter grossman who wrote (13961)	1/29/1998 1:48:00 PM
From: Craig Stevenson	Read Replies (3) \| Respond to of 29386

Peter, I have done some pretty extensive research on this over the last two or three weeks, and I believe that the majority of today's move is technical in nature. Tax-loss sellers late last year had to wait 31 days (my understanding is that this includes the day of the sell) until they could buy back in. The volume on December 29, 1997 was 236,800. Those sellers could have bought back in today. The volume on December 30, 1997 was 443,800, and those sellers could buy back in tomorrow. There could also be some short covering going on, given that there are still over 400,000 shares short. I would have shared this information earlier, but I get tired of having to defend myself everytime I say something positive about ANCR's stock price. Maybe once we get beyond the Q4 earnings, things will return to normal. Craig