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Strategies & Market Trends : Three Amigos Stock Thread -- Ignore unavailable to you. Want to Upgrade?

To: Ken W who wrote (12981)	1/23/1999 1:47:00 AM
From: Instock	Read Replies (2) \| Respond to of 29382

Ken. Nice post! Which of those stocks looks the strongest to you, for the next week? Agree, next week should be strong for the markets. Clinton will get off ( again ) and the Dow will shoot up, at least for a few days, on that alone. I did not know you followed SORC. What do you see in the short term? An old favorite stock of mine, have not followed much recently though. APCO is screaming at me to BUY! CNGR I have GTNR I bought, sold to play some other stocks, thinking of getting back in again. IFLY I daytraded about 4 times last year, long and short. Whats going on there? Tmex is a pain in the ass on that one! You seem to have a good grip on the General Market Conditions. I call next week an UP market. We will see.... Instock

To: Ken W who wrote (12981)	1/23/1999 9:50:00 AM
From: lostmymoney	Read Replies (2) \| Respond to of 29382

Good Article, By James J. Cramer ABCNEWS.com from TheStreet.com N E W Y O R K, Jan. 22 — One thing I won't miss when this era is over will be the cycle of speculation that begins with a stock rising just enough to get on CNBC and ends the moment the subject opens his mouth — regardless what comes of it. We all know this pattern. In the afternoon Joe Kernen mentions that a stock will be on “Squawk Box” the next morning because of some price rise, usually related to a press release. Overnight traders (not day traders — I am picking on no one here) immediately grab whatever they can of the levitating stock. Heck, they may even have moved the stock up to begin with, triggering the CNBC invitation in the first place. The overnight traders then wait until the interview starts the next day and they skedaddle, blowing their shares out into the hapless public. They never even wait until anything is said, as that leaves too much to chance. This overnight method works well with some thinly traded no-revenue company with uncertain prospects and no available research. It works best when the company is so awful, braindead, no-count or nearing bankruptcy that there is a substantial short position built up, a short position that causes an immense amount of pain minutes after the stock is highlighted. Sometimes these shorts, in a moment of pure fright, help fuel the rise with a sudden buy to cover their positions rather than take more pain. More money for the game players, I guess. I hate this game. It has nothing to do with investing. Heck, it has nothing to do with trading. It has nothing to do with anything! I particularly hate when I am a part of it, a mere prop in the play, as co-host of the show. Oh yeah, I read the stock boards; I know that players of this overnight game have cautioned people that the things might not go according to schedule when I am co-host. I know that these game players tried very hard to get me off this show for asking tough questions and destroying the easy money pattern. I know I take away from its predictability. (This is not my ego talking — one of the execs on the show yesterday told me that the stock boards sounded the alarm about my co-hosting all day Tuesday.) Believe me, I could care less how people make money in this market as long as it is legal. I don't think anybody should buy a stock right off a show, so if you are silly enough to place an order for a stock after simply hearing the CEO of it talking, you deserve to take out these overnighters. You deserve to ring their register for them. I can't protect you from your own imprudence. But I do care to ensure that a company with dubious prospects be vetted. If I am doing the vetting as co-host, I am not going to pitch softballs. I treat the co-host job as if I am thinking of (HYPOTHETICALLY) buying or selling the interviewee's stock. That's what the job calls for. I can't roll over to help facilitate this process. That just makes me another tool of a ridiculous process that one day will not work. We saw this pattern a few years back, during the era of Iomega It ended swiftly and abruptly when the company management's came on and either made fools of themselves or revealed themselves to be in way over their heads. I thought this new era would end when insiders wised up to the pattern and made sure they had plenty of stock lined up to sell the moment they went on TV. But that hasn't happened. It seems that company execs are getting clued in to the idea they may be asked about such a process, so they don't pump and dump. And so it goes on unabated, and will continue to do so until people figure out that if you buy during or after an interview on Squawk, you won't make a dime. All you will do is aid overnighters in their cycle of profit. I have looked at the results of these small-caps soon after their appearance on this show, and the results don't beat a dart-throwing monkey. It makes you NO money to buy the stock after an interview if the stock has run up in anticipation of a company exec appearing on the show. In fact, you will lose money in the vast majority of instances. It is a loser's game. So overnighters, keep milking the CNBC cycle. Keep buying them up the day before, and blowing them out into people who should know better. But don't expect me to help take you out of your positions. I am looking to make money, not lose money-for me, and for anybody else who is watching and contemplating the purchase or sale of a company interviewed on the show.