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To: Sonki who wrote (17943)	3/1/1998 4:26:00 PM
From: TechnoWiz	Respond to of 27012

Hi Sonki: Based on the way we closed the month, week and Friday, I would have to conclude that Dell still looks higher. But I would be very careful as this is a stock which is beginning to take on the appearance of going parabolic. That means that at any time it could be vulnerable to a sudden and dramatic reversal. How will this happen? These things are almost impossible to predict. But, if we get a higher gap opening combined with a failure swing or double failure swing sometime in the next 15 days is my guess, this may be enough of a clue that a change in trend is at hand. If I see evidence of a trend change, I will do my level best to alert you and y'all in a timely manner! (gg) Invariably, in these situations, the trend changes are sudden, dramatic and unforgiving. And following confirmation of this, I would expect a very aggressive retest of the two key recent gap areas in question that you referred to. Because this stock has been an important leader along with MSFT, INTC and others, any downturn will likely affect the overall market, either co-incidentally or shortly thereafter. As far as CPQ is concerned, I would not rule out a pretty decent pop in CPQ next week. Given your knack for bottom picking, you might end up with a double, (gg), but it would have to happen quick imo. If CPQ recovers to 33 it might give it enough momentum to take it back over 34. However, if it displays weakness and an inability to rally, I would be concerned that downward momentum remains pre-dominant. Btw - Somebody else gave me some heat about my "downgrading" CPQ, so here's my response and some clarification on how I arrived at that conclusion. "I think you may have misunderstood my intentions. I was a little concerned about CPQ's relative under-performance (compared to the rest of the mkts) early last week and I have seen this particular type of technical setup often flounder in the past. Seeing as several people asked me what I thought of CPQ, I told them I would bail at anything around 35 or higher if lucky. I am definitely not long term negative on Compaq, but in some ways the acquisition of MCI by Worldcom resembles CPQ's acquisition of DEC and may suffer similar teething problems. As you know Worldcom experienced a significant dip right after the announcement that lasted several months before Worldcom's recent impressive recovery. I am more than aware, that while the merging of any two companies takes place, there may be charges, writedowns and other surprises etc and an unusual amount of other uncertainties that could negatively impact prices. Certainly CPQ and DEC are not immune to same. Once this is all out of the way however and people begin to get familiar and more confident with the NEW COMPAQ, I have no doubt that your judgement will be vindicated and your ultimate expectations probably exceeded. Please note, that if I felt Compaq were ready to turn back up, I would not hesitate to jump back in and I certainly would not rule out the possibility of this happening, especially if it found some support for a re-bound or re-test of recent highs next week. Btw, I like many of DEC's products, especially their notebooks, which I think are among the best. Re: Their alliances with Microsoft, it will be interesting if this can be converted into further gains by CPQ as a whole perhaps bundling software specials to add value. Something I believe will be very important at both the high and low ends of the market. I believe that productivity "add on's" and other such persuasives, maybe even discounts are going to be a "key feature" of growing importance in the battle for market share in the future and I think CPQ already has good handle on this. With DEC on board, innovation should flourish and overall service and support should score highly." Btw did you get anywhere with checking out the ultimate in trading systems and charting technology (imho) at: aspenres.com rgds Mr? Wiz (gg)