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Technology Stocks : Datastream Systems, Inc. (Nasdaq: DSTM) -- Ignore unavailable to you. Want to Upgrade?

To: blankmind who wrote (471)	12/23/1998 8:34:00 AM
From: softcash	Respond to of 721

"Opportunity is knocking NOW! Do you want to make money??" taken from Yahoo! Bottom? ========== The most recent lows that were lower than current lows happened in the Spring of 1997. Let's compare the performances of DSTM then and now. DSTM lost millions of dollars in the last part of 96 and first part of 97. DSTM has made record revenues, their income is steady to increasing inspite of several strategic acquisitions. The last quarter had one time charges due to acquisitions. This quarter will not. IMHO, being even this close to those prices is WAY TOO OVERSOLD! For all investors, long or short, what we are trying to do is determine the bottom. The bottom last I knew is defined by solid support accompanied by high volume. Yesterday's action yielded more than 550,000 shares in conjunction with a fairly dramatic drop in share price: from 10.125 to 8.75, a 13.5% decrease! It is possible that one more drop of 1.25 could happen. This would conclude to a low price of 7.5, just as shark had said. It should be accompanied with volume near or over 1 million shares. This scenario is a called a selling climax and designates the bottom: the lowest and strongest level of support. ACTIONS to take =============== 1) determine total amount of money you can afford now 2) don't buy immediately at open, wait atleast 1 hour and follow steps 2a to 2c after one hour or more! 2)a) if volume is very heavy and price is going down fast. Don't try to catch a falling knife! If you waited and haven't spent any portion yet, then it is okay to spend at minimum, 1/2 of your portion ONLY after 20 minute period volumes have decreased and the price has stablized or is trending back up!! Watch the volumes and price closely. The 20 minute periods of drying volume may not happen for several hours if following a selling climax. Volume (quantity, acceleration, and velocity) is the key variable to watch to determine entry. 2) b) if the price is trading in a 3/8 to 1/2 ( 8.5 to 9.25) point trading range and the volume is tracking the same as yesterday or less, then hold tight to remaining money. Do not buy more unless a selling climax day occurs: 800k-1mil shares volume. IF the heavy selling HAPPENS, it should happen before Jan 1st. If you haven't bought any shares yet and you really need to buy shares on a day with this kind of volume and price behavior, then spend only 1/3 to 1/2 max and hold the remaining for a possible selling climax that may happen before Dec 31. 2)c) if price remains flat through Dec 31st, then just before close on Dec 30 or 31st, spend rest of money on DSTM stock. If you haven't spent anything on DSTM by DEC 31st, that would probably be a good day to spend 75-100% of money planned for a DSTM investment. If one follows this plan, it helps to lessen your exposure to a big price drop. Less exposure will enable you to withstand a 10-30% price drop VERY easily. Keeping money left aside for selling climaxes (big drop and VERY high volume) helps to pick the best spots to either buy for the first time or average down with remaining investment portion. ie it is hard to get the exact bottom. Hope this helps you make money and make your investment more of a strategy rather than a gamble and less risky to boot! Opportunity is knocking NOW!! Good luck!