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To: DCRich who wrote (97371)	2/11/1999 3:44:00 PM
From: Philip Williams	Respond to of 176387

Looking good for us, particularly if we break into a new high for the day before close, would be nice to finish with strength: Market is (finally) cooperating (with little time to spare before tuesday!) and Cramer seems to agree: Waiting to Happen By James J. Cramer 2/11/99 3:21 PM ET Here's an exercise worth following. For the last few months, when the NDX is ramping like it is right now, a mutual fund or two comes in and takes the NDX in the direction that it's already running. So, if the NDX is veering out of control to the upside, these funds take it to the stratosphere. If the NDX is running out of control to the downside, these funds take it to the Earth's core, if not China! Many of us who watch the market are appalled at this kind of "portfolio insurance" of the '90s. Those who traded in 1987 would always remember when institutions would buy downside insurance that got put on while the market was going down. It was kind of like insuring your house after the fire had started. In October of '87, of course, these clowns who set the house on fire didn't insure jack. They were soundly blamed for the crash in the Treasury's excellent report on how the market went out of control. Then as now, the purveyors of this kind of activity deny that they affect the market and plead that there is so much liquidity that they play no role. Then as now they are wrong. There is not enough liquidity in the NDX. Period. So let's see what happens. If the worries are right, these funds will come in with the NDX up 70 and take it up another huge amount -- exactly the opposite of the shellacking they delivered to the NDX the other day. Oh, what are my credentials on this? For months before the crash, to anybody who would listen, I warned that there were these bizarre, artificial forces at work, using futures to manipulate the market in ways that I thought would be detrimental to the overall health of the biz. Like anybody listened. Random musings: Get this, the 3Com (COMS:Nasdaq) and IBM (IBM:NYSE) tells told the truth and the 2 p.m. heat shield didn't even get scorched! Wounded kodiak alert!!