Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Tulipomania Blowoff Contest: Why and When will it end? -- Ignore unavailable to you. Want to Upgrade?

To: wanmore who wrote (1353)	4/21/1999 9:46:00 PM
From: ScrapCollector	Read Replies (1) \| Respond to of 3543

wanmore, I have theorized previously that one of the leading Internet stocks will have to report a significantly lower than expected earnings in order for the rest of them to go down. I may change my mind but for now, I'm speculating that AMZN is ripe to be the candidate. This will give the analysts a great excuse for downgrades later on. In retrospect, perhaps the CPQ scenario may have triggered the current correction. The fact that the biggest PC maker Compaq would falter surprised a lot of analysts. CPQ cited the lack of execution in "Internet speeds" as the fault. Whether that's true or not, once a panic starts, rationality goes out the window. The victims? Margin accounts, late-entering traders, and a CEO with a golden parachute. The dead cat might be doing the high bounce right now, so I wouldn't just say that the correction is over. I hypothesize that the technology stocks bouncing around can be explained with historical reasons, but the pacing and timing of it all has become unpredictable because of the Internet. Remember that the 1987 crash was blamed by some on "electronic trading correction" ? Well, trading is even faster now. It's one thing to state your intentions, but it's another when you actually put your money on the line. We all make mistakes, but you didn't make a costly mistake :-)