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.

Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Doug who wrote (6296)	9/1/1998 3:29:00 PM
From: Doug	Read Replies (1) \| Respond to of 18016

All: The following are some interesting observations on a sample of stocks during violent swings. a: Down leg. Carnage percentage wise is relative to big Blue Big Blue= 1, Big Cap 1.2, Mid Cap 1.6, Small Cap 2.4 Carnage always starts first with the Small caps about 3-4 weeks in advance of the Big Cap sell off. b: Up leg: The recovery starts initially with the Big Blue and Big Cap. When they have recovered to first gap, the Mid cap follow. When Big Cap and Mid Cap recover 50% of their total losses, small caps recovery is started. In brief, small caps lead the market by 3-4 weeks on the down leg and upto 4 weeks on the up leg. In market swings, the small caps pay a heavy price and therefore make very good down leg trading opportunities.