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 : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Electric who wrote (14071)	8/6/1998 1:58:00 AM
From: Lee Lichterman III	Read Replies (1) \| Respond to of 42787

No offense taken and I am NOT professing a bear market by any means. I am however warning that conditions are different right now than in October. I wasn't saying anything about DELL's PE either. I play and own KEA which is no small PE stock either. Low PE stocks don't move much. I like volatile fast growth stocks. Also as you should recall, I play DELL often myself, as recent as yesterday afternoon for a today sale as a matter of fact. My only point was that I have been charting many stocks for myself and for friends and other investors I correspond with during the day. Many of these are trading in places that shouldn't be possible and they are good companies. Many on this thread, the Kahuna thread etc bring up how the Russell is lagging or this stock went down etc without realizing many of these stocks deserved to go down because of the grim picture on the horizon or the difficulty in dumping a large position on a thinly trading stock if the market did turn ugly fast and they needed to get out. I would rather sell 100K shares of DELL in an emergency exit than a small cap that normally traded 20K shares a day. However when a large cap stock drops under a trendline that has held for 2,3 and 5 years, it gets my attention especially when they just reported good earnings and gave an upbeat CC call. My buddy is in some bank stocks and most of them have dropped below these levels. Also as some pointed out, the mostly institutionally owned stocks seem to be taking the brunt of this latest assault which highlights the fact that institutions are bailing while stating publicaly that we should all remain calm, nothing can go wrong, hick, go wrong, hick, go wrong... It was also funny today how DELL was getting spanked at 3:20 while CPQ went unscathed through most of it. CPQ won't have positive numbers for another couple quarters yet everyone expects DELL to have a pre-earnings run. I am not calling the Bull dead at this point but I am saying that he is taking a nap or is at least ill and until his condition is known, it is best to watch to see which comes out of the cave first, the grizzly or el Toro. I love to trade DELL and as much as I am preaching tonight, I may hit and run -IF- the conditions are right and I will make a speedy exit as I have been doing for the last couple weeks. I am normally mostly a lurker that only pipes up occasionally and then it is only to compare charts with Chris. However seeing today's trading made me see something apparently not everyone else here saw. A different trading environment where my charts did not resemble the action taking place and this was uncomfortable as I like to think I have all my bases covered before the opening bell. I think I even posted to you during the day where I saw the trading range either here or in a PM. I didn't post my predictions of this market as I am not an index charter/trader. I trade only a few stocks and since many here including Chris were already warning this market was coming, I saw no need to post. I did close out all my long positions in preparation however with the exception of one set of options that I greedily tried to squeeze a few more points out of and are now worthless unless the predicted rally occurs. Good luck to you, and all of us. I hope I am wrong but it still will be better to be safe than wishing I had stuck with the gain risk weighting. I do agree that if I had to trade right now, I would be in DELL since they are the only ones with impending news to help hold them up. Why INTC is up I have no idea. I think it is only so the funds can get out of it quietly as their immediate future is far from bright. Come to think of it, I may start looking at puts tomorrow there. 80 to 60 should be worth a few. Have to go chart them real quick now. Happy trading, and I DO hope I am wrong. Lee