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Strategies & Market Trends : Trader J's Inner Circle -- Ignore unavailable to you. Want to Upgrade?

To: Chris Peterson who wrote (4291)	1/13/1999 10:25:00 PM
From: zora	Respond to of 56535

Chris, Welcome to the thread. I am not as experienced as some of the others, but I have seen the same thing happen with other stocks. They go down with good earnings numbers. I figure that the stock has already run up in anticipation of the number and retreat after because there is nothing to hype in up for a while. I plan to do the very same thing with DELL. Earnings for the qtr will be very good, so I bought today and will sell as it runs up towards Feb 22. zora

To: Chris Peterson who wrote (4291)	1/13/1999 10:38:00 PM
From: Trader J	Read Replies (1) \| Respond to of 56535

Chris - Howdy and welcome. Sorry for the late response, I did not see your post until Zora here replied to it. You don't want to get me started on why companies that beat estimates go down while companies that post -.21 vs. -.28 skyrocket. A long story and this is the one factor that you can point at to prove to a fundamentalist that these markets have changed massively from 10 years ago. Please see my X-factor post from yesterday, or perhaps the day before. Lets just say that to play earnings releases now days is a crap shoot. Expected results and whisper numbers serve now only as expectation figures that if not met, and sometimes as in YHOOs case, even when met, will have unexpected results. As Zora mentioned prior, it is an offshoot of the tactic, "Buy the rumor, sell the news". What I think you are basically asking is "How is my YHOO investment"? Correct? Lets focus on the term "investment". If it is a true investment, you will be fine. They are one of the leaders in field and arguable the best positioned in the Inet sector. The Inet hype will remain unless we receive more catastrophic news or some other external factor that weighs on the extreme valuations of these Inets here. Even still, in such a sell off, I would worry more, long term, about the second tier Inets with lofty valuations such as BCST, UBID, EBAY, etc. Many would not consider these second tier but believe me, they are. They just have had major runs that prices them as first tiers. If this was a day trade, pray. I expect some weakness tomorrow, but nothing major. See my recap a bit later. Good luck and trade well. TJ