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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: jbn3 who wrote (23221)	2/3/1999 2:48:00 PM
From: Judy	Respond to of 50167

I believe the market is an efficient pricing engine and assimulates known information quickly. Having said that, a one-year chart of RMBS shows the story. Before the hoopla of the rampup in OEMs deploying RMBS technology ahead of schedule, stock had found resistance at 87 with analyst price target of 80. When deployment of RMBS technology came under doubt, stock was driven down to the 200-day ema, about 67ish. I posted the interval 67-87 would be a decent interval for long-term accumulation of RMBS, market seem to say stock was worth that given the unknowns of the RMBS technology. Fair value is set by percerption of the market, I see that as being between 80-87 if the market holds up and the semi sector remains in favor. Edelstone who downgraded RMBS before the company prewarned sees it the same way. He upgraded it recently. But when the short-covering dries up and institutional buyers do not step up to bat, RMBS may continue to drift with a downward bias. PS. I wrote this post based on memory and did not pull up the RMBS chart.