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Technology Stocks : Semi-Equips - Buy when BLOOD is running in the streets! -- Ignore unavailable to you. Want to Upgrade?

To: Will Lyons who wrote (6486)	8/5/1998 4:40:00 PM
From: Czechsinthemail	Read Replies (1) \| Respond to of 10921

Will, The big expansion in the numbers of people investing in the stock market has been primarily through purchasing funds. If we go into a more extended bear market, this will likely be where the greatest carnage occurs as many inexperienced investors redeem fund shares and the funds, in turn, have to dump their holdings to raise cash for redemptions. The small caps are more frequently the domain of individual investors who do at least some analysis of the companies they put their money in, and may represent somewhat stronger hands. I think we may be reaching a point where the relative performance of small caps to big caps swings in favor of the small cap companies. As you point out, bargains and heavily oversold stock is much easier to find among the smaller companies. Baird

To: Will Lyons who wrote (6486)	8/5/1998 5:12:00 PM
From: Joseph Beltran	Read Replies (1) \| Respond to of 10921

Will, I agree with everything that you pointed out. That sums up the last 2,500-3,000 points in the dow, and the last 1,000 points in the NASDQ. Unfortunately, I don't see fund managers changing their ways. For instance, today, all the bullish commentators are talking abut "buying opportunities" in MSFT, CSCO, LU, DELL and that's it. It's the same old story. They have been peddling these same stocks (and a few select others) to all investors for the past two years. The index funds (the "no-brainer" funds) have exacerbated the situation. They keep pumping $$$ into whatever goes higher. Something has got to give. The advance/decline line tells all. regards