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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Ibexx who wrote (72934)	2/4/1999 9:55:00 PM
From: brian z	Respond to of 186894

AMD slips deeper into the abyss zdii.com

To: Ibexx who wrote (72934)	2/4/1999 11:56:00 PM
From: Ibexx	Read Replies (4) \| Respond to of 186894

Thread, The following is taken, in part, from Option Investor Newsletter, issued 2/4/99: "One of the major reasons for the Nasdaq massacre today was the reemergence of Tom Kurlak (Kurlakspan to us). Once a quarter he has to come out from hiding and verbally abuse Intel and any other chip/tech stock that is doing better than his estimates permit. He downgraded Intel and AMD today based on his view of a coming price war between the two. You did good Tom, -83 on the Nasdaq. Hope you are happy now. Personally I think the price war is over. AMD has been forced to make a market in the very low margin, cheap chip market. Intel on the other hand has excelled in bringing new high performance, high margin, processors to the market place and cannot make them fast enough to satisfy demand. Where would you want to be? I view Intel here as a buying opportunity, especially with a split coming up soon. As far as the rest of the techs, Dell was up +17.00 last week and +8.00 on Monday. Can you spell profit taking?? SUNW was up +13.75 last week and +4 yesterday. MSFT +18.75 last week but accused of forging video evidence this week, a definite non market related downer. CSCO +8.75 last week, missed the whisper number and did not announce a split with earnings. No market related drop here, just stock related profit taking. Is this just a post Fed down day or the start of a new trend? Lets look at the facts. The market internals were terrible. Advances were overwhelmed by decliners 2674 to 4370. The Nasdaq was hit with the third worst point loss ever at -83 or -3.3%. The tech leaders were killed with DELL -5.50, SUNW -7.13, MSFT -7.75, and INTC -8.56. The individual reasons in the previous paragraph look like either individual problems or just serious profit taking to me. The Nasdaq is up huge numbers since the October lows. The constant record setting pace has greatly extended these stocks and we could easily see another -10% drop and most would still have positive gains for the last two weeks. With 14 record closes in the last 20+ days of trading it would be irrational exuberance to not expect some profit taking at some point. This is what stop losses are for. The fact that the Dow held ground in the face of the monster tech sell off is good news. If the jobs report tomorrow is not as strong as some expect then we could see a bounce there. AMD warned at the close that they would in fact see some more red ink this quarter and the market did not have time to react to the news before the close. This would suggest another tech drop at the open. Another strong drop could start the bargain hunting early. Did I say buying opportunity for Intel??..." _____ Have your $$$$ ready! Ibexx