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Technology Stocks : CONVERGYS CORPORATION (NYSE: CVG) -- Ignore unavailable to you. Want to Upgrade?

To: LT who wrote (45)	2/10/1999 10:03:00 PM
From: IngotWeTrust	Respond to of 135

Hello, LT... allow me if I may... I strongly suspect the sell-off is inspired by what is known as technically inspired trading by short-term players also known as day traders. The idea of what CVG does isn't sexy, which would make it a great broker hype type story to sell clients with long term appreciation goals. Sexy stories currently are anything that ends in .com or maybe a good biotech story such as entremed's unexpectedly quick FDA approval of a second heart device. Nope, billing for cellphones and cable tv systems is NOT sexy. It was a natural to sell it again in the 21-ish area. Such volatility/price-wise created what technically inclined traders call a very bearish signal: an island top. Today's action basically closed that major gap, and the next few days will tell the story. Frankly, I'm looking to add on any dip back to the 15ish area again. And I've already advertised my willingness to buy again in the 12ish area. Besides, the only reason why buy ratings are initiated is to generate commissions for the brokerage doing the rating. Most short-term players play with the aid of all kinds of charting gizmos generated by live quotes, and were also inclined to sell on the buy the rumor (of an upgrade or upgradeS- and sell within a maximum of 3days after said upgrades actually were publicized. Nothing wrong with the company to my knowledge. Just too many police officers and Harley Davidson sales reps in these markets. Can hardly wait for a good bearish cleansing to send these people back to their day jobs and get'em out of the easy money day trading mindsets. Good Investing!!! O/49r

To: LT who wrote (45)	2/10/1999 10:52:00 PM
From: Sethpop	Read Replies (2) \| Respond to of 135

I don't know about charts...but I do know about portfolio management and investor preferences and given the recent spin-off I would guess a lot of institutions (who do know what business CVG is in......but might have to balance their portfolios and thus would sell all or part of their inherited position) and most of the public (many of whom did not either know, understand or care what business CVG is in...but knew they had invested in Cinc. Bell...not CVG and saw the price spike as an opportunity to sell) were selling without it having much "fundamental" significance in the short term. The price spike was a good time to sell out-of-the money calls against the position; now those calls can be bought back in for very little and new calls sold at the nearer out-of-the-money level...just not a large set of open positions yet in the further months.