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.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Lucretius who wrote (39038)	12/11/1998 12:11:00 AM
From: Stock Watcher	Read Replies (1) \| Respond to of 132070

Sorry LT, but, we just don't crash in December; it's not in the holiday spirit. Technically, we're testing 8750. This should hold as firm support. Resistance is 9100. Very narrow range. A "coil" is starting to appear on the S&P chart, so, we should break-out to the upside just in time for the cliched' "Santa Claus" rally (right after Dec. options exp.). Look at Sept. - Dec. 1992 / same pattern at end of year. Bears were trampled. Three interest rate cuts, double-bottom @ 7600 and the wild tech/net sector will push us to 9300 by end of year. Companies with heavy foreign exposure will take a hit, but, US economy has never been stronger. Those stocks with limited foreign exposure will exceed profit estimates and those who are exposed worldwide have already taken steps to remedy their problems (plus the yen is much stronger than it was six months ago). We already had our "crash" on Oct. 6th (7th ?). Watch the big money flow-in from the side-lines in the unlikely event we go down to 8500. The institutions, mutual fund managers and "pro's" are just waiting for a big dip - chances are, they won't get it. Tax selling is almost over and massive amounts of cash will pour-in after the "big-guys" become scared enough to think they might miss the boat. Big downturns just don't happen in December. It's almost sac-religious. At 9500 - it'll be time to bail, 'til then up we go ! av