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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: Uncle Frank who wrote (13413)	12/21/1998 4:07:00 PM
From: johnd	Respond to of 74651

You forget to mention that the stock hit 88 in August. I guess I don't beleive in momentum investing. With that strategy I need to know when the momentum starts and ends I am of the type buy, hold, buy on dips, hold. My point here is: a) Rich valuations is bad for long termers like me b) Anyone buying at rich valuations should be ready for corrections and must have quick exit strategy. I made 220% on MSFT this year. So I am not complaining. I followed my advice. Sold covered calls in April at 99 that expired. Bought more shares at 84 in May. Bought and wrote covered call in July at 118. It went down to 88 then took till Nov. to get back to 118. Sold Dec 140 cov. calls they expired last week. Today sold 150 cov. calls. So far so good.

To: Uncle Frank who wrote (13413)	12/21/1998 6:02:00 PM
From: t2	Read Replies (1) \| Respond to of 74651

Anyone, What would happen if the internet stocks come down significantly. How would this affect the blue chip tech stocks if at all. Would there not be a lot of margin calls if such a scenario took place and therefore push the other techs down. Or could there be a continuing shift out of commodity/resource stocks in to techs to offset any weakness created by the potential margin calls. My guess is that the big mutual funds would pick up the blue chip techs if the selling pressure scenario took place. The dip would be short lived. I don't believe most big funds invest too much in internet stocks anyways.