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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: The Freep who wrote (18349)	10/2/1998 1:56:00 AM
From: Kerry Lee	Respond to of 29386

Freep wrote: <<I'm trying to figure this stuff out so I can understand why the share price is right back to where it was before the company announced major news.>> 1. IRRATIONAL/PANIC SELLING fuelled by last 2 days Stock Market crash..when I say "irrational", I am referring to market cap of 21 million shares X $1.50 = $32 million even though the technology/ product/emerging FC market sector suggest a higher valuation. 2. Technical analysis/gap theory suggests that stocks that experience a huge 1 day gap ( eg. $1.50 to $2.50) must fill the gap ( back to $1.50 ) to re-confirm the technical bottom before the stock can move up with less overhead resistance. To use the Dow as an analogy, I've heard for the past month that the Wall St pundits are saying that the Dow is likely to re-test its lows before a sustained rally can occur..If there are any TA experts out there, feel free to jump in and add to/refute this notion. Any TA followers care to make predictions on ANCR? 3. CONTINUED SELLING by Reg D...