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To: The Perfect Hedge who wrote (25971)	5/1/1999 11:27:00 PM
From: IQBAL LATIF	Respond to of 50167

Beeblebrox the only way to look at that move is to read my earlier post of 29th April to Karun.. Was this move anticipated or it came from the blue, if I had it covered earlier, I would think it remained perfectly within my strategy, I am pleased that I anticipated this sell off and a sell programme to test key supports.. <<I have this durable order and GDP growth co-relation I think the growth will be surprisingly strong that will lead the bonds yields higher and a little movement in the futures but we will survive the test of supports>> In the afternoon of Friday the pits were worrying about ' consumer spending patterns' they were rising sharper than last DEC the most volatile month, than 1242 was broken and I shorted the darn thing sold 1380's and bought 1330's, got out of them as we rebounded off 1319 area and I saw DOT maintaing the supports. If you read my post to Karun what happened on Friday was that fear of 'inflation' ECI was on theback burner and the fear spilled over ....late a big sell programme as bond yields hit 5.66 and we broke that 1342 level.. we tested the supports at 1319 and came back up to close above the 1342, same with DOT we retested 629 made a second lower low and also came back, Thursday, Apr 29 1999 9:52AM ET Reply # of 25971 I think that OJ's view on benign economic number may be little too optimistic, I have this durable order and GDP growth co-relation I think the growth will be surprisingly strong that will lead the bonds yields higher and a little movement in the futures but we will survive the test of supports, it is this increased estimates which will drive the market and higher skepticism. The bears are all short and it only when they are long market sells off, however I will look at this 1350 and 1330 in short term very clearly. I have thi otehr test capacity utilisation and out put gap that is very wide, we are well below capcity and until output picks up we may not see any meaningful inflationary pressure, any sell off may be a buying opportunity if inflation remains benign, strong economy will only help strong incomes and bottom lines, that is without inflation, I will keep a very close look at that crucial factor that one change will be a big fundamental change..ECI is .4% smallest gain on record.. go long AMZN at 171... Thanks for congratulations it was all partially because of you too.

To: The Perfect Hedge who wrote (25971)	5/2/1999 12:01:00 AM
From: IQBAL LATIF	Read Replies (2) \| Respond to of 50167

On DOT I explained the 725 target in following post...<<now we need to close above 675 and a retest of 725 will be in offing, if 625 is taken out before 725 we go lower to test 550 again, if we fail 725 second time we will go much lower to test as low as 450>> I think a retest of support on DOT at 628ish making a higher second low is positive for the market, but 675 remains the first hurdle and than the 700, I would any way try to highlight that at 725 which is still is very likely one should get out of all internets and go in at 750 or beyond, like wise a break of 625 on closing basis or looking at momentum of selling, that is one good sign of internets one can also liquidate long positions, these are purely a momentum play and don't ever worry to take tghe positions out if they are not helping.. Like wise a break of support has to be properly traded... like 1342 highlighted again this post.. I think nothing is better than a strategy planned in advance, the game of investing is about 'anticipation' it is event driven market, a good trader smells the moves look at both sides and trade, look at BKX not only we were breaking 1342 but 918 broke we went thru it tested this support at 907 and bounced back anyone looking at the indicators I highlight in the posts would have seen the trap and bounce was just that test of 1319 a support point above 1318.... Friday, Apr 30 1999 5:50AM ET Reply # of 25972 Test of 2504 and a successful one too is a good sign with DOT 626 test this is a healthy development after a big move to 725 area from 540, a retracement of nearly 60% of the move is good now we need to close above 675 and a retest of 725 will be in offing, if 625 is taken out before 725 we go lower to test 550 again, if we fail 725 second time we will go much lower to test as low as 450. So markets are shaping up nicely and one needs to watch for that 1504 and DOT index with nearly 500 billion $ of cap it can easily correct 50 % without a dent on the market. SPM 1342 remains an imortant support and so does BKX 918 in overall shape of things, I think that the only way to trade for me are these small posts and that is how I trade, I rarely second guess once I see some troubles as I get confirmations from co-rleated indexes..