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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: Tom Trader who wrote (40885)	4/23/1998 12:02:00 AM
From: The Jedi	Read Replies (1) \| Respond to of 58727

Tom good questions. Once the stock moves from 87 to 90 there is a high probability of it going on to 99. Thus long positions are beneficial in these. And one can watch a simple MA cross-over for the sell signal. From 90 to 99 can take time. Empirically this lasts 8-18 weeks (depending on the momentum of the stock and the sector). Then at 99 they stay about another 4-10 weeks, at least the ones I have watched. Unfortunately there is no such signal on the short side. In a bull market, getting below a certain RS does not mean it will deteriorate faster. Playing the short side with RS has not been useful for me, as I could not formulate any rules there. Best go only in the direction of the long term trend (the 200 day MA) in the sector with momentum. I have been posting on Myrons thread for some time the stocks that look strong. A portfolio of these has shown some good results, there is a link to where these stocks are being tracked on the 99RS thread. Hope that helps. Kiri