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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: H James Morris who wrote (37951)	2/2/1999 9:15:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 164684

Very observant: "Let's kick out some press releases to keep this whale from beaching". The mo has gone out of the momentum for Amazon - recent news and positive statements by some bull analysts have failed to put any momentum behind this bloated fat whale of a stock. TOne key market psychology indicator has turned negative for most of the net stocks and much of the rest of the market: when good news fails to have a positive effect and bad news tends to take a stock down disproportionately, then a top is at hand. All the great new things that helped to propel the sector to astronomical levels have run out of steam: 1] increased awareness of e-commerce and robust sales. 2] the Christmas gift-giving season is just a memory. 3] Stock splits and IPOs in the sector have wound down. 4] a growing awareness of the probable validity of my hypothesis that e-competition will keep profit margins at a reduced level. One economist recently credited the Internet with helping to keep down inflation in the US because it has already created lower prices both on and of the net. The trend for lower prices, perhaps even a major reshaping of pricing structures, has begun and may lead to a major DEFLATIONARY price trend throughout the economy. Amazon is going to continue to move down, after a few more days at the 105-115 level, IMO. It may try to rally, but the trend is down, through the summer. We still have 35%-45% lower to go - to around 60. Longer term, say by this time next year, the stock may well run up to new highs.