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 : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Rob S. who wrote (18565)	9/27/1998 10:37:00 AM
From: Jan Crawley	Read Replies (1) \| Respond to of 164684

Rob, "grab a soft drink," I finished two cups of coffee. :) Thanks a lot for an excellent post. You can call this "dreaming" or you can call this a "feasiability study"; if Amzn goes to $147 again for two minutes/hours/days: 1. Short 5 Nov/Jan $120 calls and asking $50 plus premium. 2. Try to reserve/pending short @$145, 500 shares 3. Or Oct 120 put for $1 premium, lots of them. :))))

To: Rob S. who wrote (18565)	9/27/1998 11:03:00 AM
From: H James Morris	Read Replies (1) \| Respond to of 164684

Rs, does TA have a greed factor inside its equation?

To: Rob S. who wrote (18565)	9/27/1998 11:29:00 AM
From: Peter Bernhardt	Respond to of 164684

Although YHOO is in an almost unique position to extract margin (some of it coming from Amazongonenutty.com), this was taken as a sign for health in the industry and, in some insane way, as an indication that values really are justified. I don't think there is a coincidence that the DELL/Excite/AT&T announcement was made this week. And now the BOOK (B & N) IPO is scheduled to go forward by the end of the month (and one other biggie I can't think of right now). Excellent analysis as always, Rob. Particularly the TA (not quoted above). I should say, however, that I was disappointed that Thursday's key reversal wasn't confirmed by Friday's weird price action -- even more so given the way the rest of the market behaved. I believe what you state above is most likely the reason for the unusual upward movement in this stock. With that in mind, I wonder what further positive impact YHOO's earnings release (which, I believe, comes before AMZN) will have? Probably good for another 10-20 point surge, one might cynically suppose. This is one of the most unique situations I've come across. A stock that by any rational account is so grossly overvalued as to make it an irresistible target for short-sellers. But one of the great ironies in all this, of course, is that it is the frenzied activity of shorts (stampeding to cover on the thinnest of good news for this stock - like the YHOO news, for example) that has been the primary force driving up the stock price. For those of us holding puts, the situation couldn't be worse. We have great confidence that we are fundamentally correct about the value of AMZN's stock, but we don't have the luxury of time to see that conviction confirmed by the market. As you so rightly point out, being correct about the fundamentals behind a given stock price has very little to do with your success as an investor, much less as a trader. - Peter B

To: Rob S. who wrote (18565)	9/27/1998 3:03:00 PM
From: Olu Emuleomo	Read Replies (2) \| Respond to of 164684

lets look at some TA Yes Rob, lets look at some TA. I am current staring at.... bigcharts.com Resistance zone: 110 -- 120 Support zone: 95 -- 99 'Shorts-are-toast' Zone: Above 130 (i.e. on close over 130, shorts should really begin to sweat. At best the shorts will get a top at 140; but don't count on it! We are probably going to new highs! i.e. 150+) 200 day EMA: Around 72. Trending UP 50 day EMA: Around 99 Trending UP Reason for bullishness We have not closed below the 200day this year! We broke the 50day EMA in Aug; but we are now back above it. Notice how we bounced off the 200day. Same thing for YHOO, whose bounce was even cleaner than AMZN's!!!) Friday, we tested the 50day EMA, but found massive buying support. Current trading vol +50% (6.1m vs 4.4m) IBD Acc/Distr: B (This means that it is being accumulated) IBD Rel Strength 99 (Highest possible) Looking for a bullish cup-and-handle at the 110 -- 113 zone b/4 we power up to upper resistance at 120. The only internet stock more bullish than AMZN right now is YHOO. Caveat emptor --Olu E.