Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Robert Graham who wrote (41761)	4/29/1998 12:29:00 AM
From: Gersh Avery	Read Replies (1) \| Respond to of 58727

Robert Graham By currency valuations, I've come to the conclusion that there is liquidity being removed from our markets by foreign investors. We know for a fact that the BOJ pulled some out by cashing in a pile of bonds. In addition, Japanese investors would be slow to buy the bond dip, knowing that at any moment the BOJ could nuke their latest investment. I would guess that foreign investors, for the most part, would have their monies in the funds. If that is the case then lately the funds have been pulling back a little toward cash..but just when they have almost hit their cash target, another block of their cash reserves vaporizes..so they have to sell a little more stock. So..We then still have the picture of strong cash inflows (from IRA,401 etc) but a net loss of cash .. yes .. liquidity... kinda like strong curbs to the upside only. *And if this a liquidity problem .. then there can be no rally.* Gersh

To: Robert Graham who wrote (41761)	4/29/1998 8:19:00 AM
From: donald sew	Read Replies (4) \| Respond to of 58727

Robert, I believe the biggest issue when my technicals were out of wack during the strong UP movements was caused by liquidity. Now, I do not think that liquidity is that big of an issue, since my technicals are saying that we should be going up now, not down, for the short-term. My technicals are now oversold not overbought, and indicate that we should bounce, which we did nicely in the morning yesterday, but totally retraced the gains almost immediately. If we are going down when the market should be going up then one can assume that liquidity is dropping or some other reason. If liquidity is not dropping and we are going down when we should go up, then it may be other reasons. Just heard from MARIA that there is still cash on the sidelines, then why are we not popping up as we did yesterday morning. Now, I believe its the interest rate fears. I hope I am logical with such thought. Seeya