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Technology Stocks : America On-Line (AOL) -- Ignore unavailable to you. Want to Upgrade?

To: Steeny who wrote (16822)	5/12/1999 4:33:00 PM
From: Tom Tallant	Read Replies (1) \| Respond to of 41369

Steeny, Question: Is low volume on a down day good? Kind of a pause on an uptrend? TIA Regards, Tom

To: Steeny who wrote (16822)	5/12/1999 4:34:00 PM
From: MU Lation	Respond to of 41369

Steeny, Thanks for your technical assessment. I agree, we need to break through on big volume. Maybe the analyst meeting next week will give us that oppty. MU

To: Steeny who wrote (16822)	5/12/1999 5:51:00 PM
From: Steve Robinett	Read Replies (1) \| Respond to of 41369

Steeny, You comment correctly that today's volume was pitiful, about one standard deviation below the 20 day average for volume. During the runup over the last couple of days, which has carried AOL's price back to its short-term (20-day) moving average, volume has been about average. As I've commented before, I'm not much of a fan of TA, and this situation is one reason why. It is possible to read a short, sharp, average-volume rally like this one as a bear market rally in an on-going downtrend after a double top. It is also possible to read it as a bounce off of support or, yet another alternative, as the establishment of a horizontal trend channel--all are equally possible interpretations. Only time will clarify which interpretation is correct. But, then, trying to know today what you will know tomorrow has always been a tricky business. Best, --Steve BTW, your TA is quite good, often tempered with good "context" judgement.