From: owner-canslim-digest@lists.xmission.com (canslim-digest) To: canslim-digest@lists.xmission.com Subject: canslim-digest V2 #296 Reply-To: canslim Sender: owner-canslim-digest@lists.xmission.com Errors-To: owner-canslim-digest@lists.xmission.com Precedence: bulk X-No-Archive: yes canslim-digest Tuesday, June 23 1998 Volume 02 : Number 296 In this issue: Re: [CANSLIM] USNA & large owner holdings.. [CANSLIM] If I were to ask you Re: [CANSLIM] If I were to ask you Re: [CANSLIM] If I were to ask you Re: [CANSLIM] If I were to ask you [CANSLIM] Re: Canslim Digest V2 #294 [CANSLIM] 'M' [CANSLIM]GRS RE: [CANSLIM] 'M' [CANSLIM] Brief discussion of MACD. [Connie] Re: [CANSLIM] Re: Canslim Digest V2 #294 [CANSLIM] Off Subject (re: ATHM, AOL, MSFT) [CANSLIM] OBV/MF [Connie] [CANSLIM] ATI Technologies (ATY.TO) is breaking out Re: [CANSLIM] OBV/MF [Connie] Re: [CANSLIM] OBV/MF [Connie] Re: [CANSLIM] OBV/MF [Connie] Re: [CANSLIM] OBV/MF [Connie] ---------------------------------------------------------------------- Date: Mon, 22 Jun 1998 09:17:37 -0700 From: "James B. Andrews" Subject: Re: [CANSLIM] USNA & large owner holdings.. Another case in point, Chuck Schwab owns around 40% of that little startup brokerage and he fits the criteria Tom set up below... In the late 70's, early 80's things were pretty tough for him and the company and now he is worth somewhere over a BILLION dollars... Jim At 12:39 AM 6/22/98 -0400, you wrote: >Dave, >you can make money off someone else's personal "fiefdom", for example >look at what King Wayne Huizenga did with Waste Management, >Blockbuster Video, the Panthers, yada yada etc. Or look at what Arison >did with Carnival Cruise Lines, for a further example. The key is what >the individual is doing with the corp. Go visit the SEC site and see >if he is selling (not that is automatically a negative). Looking at >sales and earnings of USNA, seems management is doing a good job. So >long as management is willing to increase their net worth thru the >increased value of shares they hold, vice salaries and perks, I don't >get too worried, even if they sell a small portion of their holdings. > >I would also assess the age and health (if known) of the founder and >the likelihood of him stepping down in the near future, thus >potentially casting his shares onto the mkt. This is more likely if he >is becoming a figure head, rather than a working manager. > >Tom W > >-----Original Message----- >From: Dave Cameron >To: canslim@lists.xmission.com >Date: Sunday, June 21, 1998 11:37 PM >Subject: [CANSLIM] USNA > > >>Group, >> >>I own USNA. I recently found out that the founder owns over 50% of >>the stock. I knew (from Daily Graphs) that the % owned by >management >>was sizable, but did not expect it to be primarily in one man's >hands. >> >>Anyone have any thoughts on this? >> >>Dave Cameron >> >>- >> > > >- > - - ------------------------------ Date: Mon, 22 Jun 1998 10:29:02 -0700 From: Harlan Subject: [CANSLIM] If I were to ask you Ok folks If I were to ask you 2 months ago if the following issues were market leaders what would you have said. CMGI YHOO LU LHSPF AOL XCIT MSPG CCU just to name a few. You cant tell me you would have said otherwise. If you were to look at these issues now WHAT WOULD YOU SEE. as Edward Allen Toppel sayes in his book Zen in the Markets. I know I know it sounds way out there! ZEN? what is this guy nuts? Well go read the book and then tell me it wasnt one of the best books youve ever read on the phsychological aspect of investing you ever read then we'll have a talk. He sayes: BELIEVE WHAT YOU SEE NOT WHAT YOU THINK! Now if we were to apply that to the issues above what would you see!!! For me it this 1. Acorrding to the model book study of the biggest winners over the last 45 plus yrs (the cornerstone of CANSLIM by the way) it states that LAST CYCLES LEADERS ARE THIS CYCLE'S LAGGARDS ( semi-conductors,oil case in point) It also states that: EACH NEW UPCYCLE STARTS WITH NEW LEADERSHIP and that leadership continues on after the 1st correction/consolidation of the new upcycle. But you have to look at each issue on its own merits not just the group. So if we were to apply that thinking to the Internets, select technology, Temphelps, and of course the retailer's that would say that when this correction is fuly over these areas are gonna be the place to be right? Well lets back up for a moment and look at the word Market Leader. Dont those words denote LEAD meaning move before the whole market does? In my book it does. Now lets go back to those issues again. Look at them again What do you see. CMGI- finishing off a correction/consolidation and has a big base. What happens when it breaks out of the base. YHOO- Had a corection/consolidation and BROKE OUT of its base and is on its way! LU- finishing off a correction/consolidation and is base building, and a decent size one too! breakout to new highs takes place at 77ish LHSPF- this one too is attempting to finish its correction but still needs a tad bit more time, we'll keep you informed. But theyre sales and earnings keep on keeping on. So its most likely only a matter of time with this one. AOL- POW ZOOM TO THE MOON ALICE look at it what do you see? I see an issue that went through a small correction and busted out to new highs and is on its way. Worth considering on a pullback. XCIT-In the process of finishing a corection/consolidation. Building a cup!!!!!! Watch carefully. If this one puts in a handle and breaks out to the upside its gone and wont look back. MSPG- looks very similiar to XCIT doesnt it? Care to guess what happens when it breaks out? CCU- Hmmm looks as though this issue broke out of its base and is sitting on top of it doesnt it? care to guess what happens when it hits a new high? In summary? If you throw in what the model book has to say about mkt cycles and the leadership that exists in each cycle and then you apply the BELIEVE WHAT YOU SEE with the Basics of technical analysis its my opinion youve got all the ingrediants for nice moves to take place by being in (at some point) those above mentioned issues. PS last yr about this time we saw the same thing with the oils and the semi's and those issues turned out to be the biggest movers of that quarter. Just calling it as I see it does this help give you some direction? Do your own homework, make your own desisions, Manage your own risk, your on your own just thought you'd like to see it. Harlan - - ------------------------------ Date: Mon, 22 Jun 1998 12:52:02 -0400 From: Craig Griffin Subject: Re: [CANSLIM] If I were to ask you Harlan, Excellent post! Thank you for sharing this with us. I agree, in general with what Mr. Toppel says. Sounds like a good book. You wrote: >as Edward Allen Toppel sayes in his book Zen in the Markets. I know I >know it sounds way out there! ZEN? what is this guy nuts? Well go read >the book and then tell me it wasnt one of the best books youve ever read >on the phsychological aspect of investing you ever read then we'll have >a talk. He sayes: BELIEVE WHAT YOU SEE NOT WHAT YOU THINK! That last statement is the key. It will keep you from shorting an AMZN - regardless of what you THINK. Anybody can SEE it is in a monster uptrend - possible climax run. Look at IOM back when it did the same thing - the shorts got killed for months. This AMZN move could end tomorrow or it could go for a long time - never short based on valuation. ("The trend is your friend.") Certain amongst the leaders have indeed been breaking out (such as AMZN, YHOO, AOL). Best regards, Craig - - ------------------------------ Date: Mon, 22 Jun 1998 09:42:25 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] If I were to ask you <> Harlan, Of the stocks you list, which of them would you consider to be CANSLIM? - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Mon, 22 Jun 1998 20:23:32 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] If I were to ask you DB, Can I have a go at that question? :) I'd say LHSPF & MSPG. LU & AOL have to many shares. I mean they are not small caps. (No 'kiddin. ;^) To solve the situation for the remaining candidates I would propose the following to the Big O.: Let us modify CANSLIM and replace C, by 'page hits during the Current quarter' and A by annual page hits growth. Fair enough? Johan (Tongue firmly against cheek.) At 10:29 AM 22-06-98 -0700, you wrote: >Ok folks If I were to ask you 2 months ago if the following issues were >market leaders what would you have said. > >CMGI >YHOO >LU >LHSPF >AOL >XCIT >MSPG >CCU >just to name a few. >Harlan Johan Van Houtven CLICK! N.V. / Wilrijk, Belgium - - ------------------------------ Date: Mon, 22 Jun 1998 14:46:57 -0500 (CDT) From: mckeener@ix.netcom.com Subject: [CANSLIM] Re: Canslim Digest V2 #294 Tom Worley and Jim Noetzel, American Science and Engineering (ASE) is on my watch list. Thanks for the added information on it. The company is not listed in Daily Graphs, printed version. Tom, you wrote "GRS doesn't help at 17." What's GRS? Thanks, Mary - - ------------------------------ Date: Mon, 22 Jun 1998 22:13:53 +0200 From: Johan Van Houtven Subject: [CANSLIM] 'M' Good news: NASDAQ up more than 1% today. Bad news: Volume approx 9% less than yesterday. Conclusion: No follow through day yet. Just the facts. Johan Van Houtven CLICK! N.V. / Wilrijk, Belgium - - ------------------------------ Date: Mon, 22 Jun 1998 22:30:50 +0200 From: Johan Van Houtven Subject: [CANSLIM]GRS >Tom, you wrote "GRS doesn't help at 17." >What's GRS? Group RS. Group Relative Strenght. A number between 1 and 99. 99 being the higest RS and 1 being the lowest RS. Basically you want to look for stocks in strong groups. I.e. in group with a high RS. If I had my copy of HTMMIS here, I'd point you the right chapter. There are about 197 groups. Johan Van Houtven CLICK! N.V. / Wilrijk, Belgium - - ------------------------------ Date: Mon, 22 Jun 1998 13:47:03 -0700 From: Brian Nash Subject: RE: [CANSLIM] 'M' I know; I was itching to own some TYC or LFG. Now they're both too extended. > -----Original Message----- > From: Johan Van Houtven [SMTP:Johan.VanHoutven@ping.be] > Sent: Monday, June 22, 1998 4:14 PM > To: canslim@lists.xmission.com > Subject: [CANSLIM] 'M' > > Good news: NASDAQ up more than 1% today. > > Bad news: Volume approx 9% less than yesterday. > > Conclusion: No follow through day yet. > > Just the facts. > > > > > > Johan Van Houtven > CLICK! N.V. / Wilrijk, Belgium > > > - - - ------------------------------ Date: Mon, 22 Jun 1998 19:55:29 -0400 From: Connie Mack Rea Subject: [CANSLIM] Brief discussion of MACD. [Connie] Members-- For more than the panned comment on MACD, you might take a look at: http://acot.com.au/MACD.htm Connie Mack - - ------------------------------ Date: Mon, 22 Jun 1998 20:06:13 -0400 From: "Tom Worley" Subject: Re: [CANSLIM] Re: Canslim Digest V2 #294 Mary, GRS stands for Group Relative Strength. It's a measure of how the entire group is doing, and is a weighed proprietary formula of DG. It uses the prior 6 month price performance of the highest RS stocks (75% weighing) along with group performance (25% of the weighing). It was in my NASDAQ/AMEX book of June 5, and currently at DGO has a datablock, meaning it's also in the current June 19 edition. Tom W - -----Original Message----- From: mckeener@ix.netcom.com To: canslim@xmission.com Date: Monday, June 22, 1998 3:46 PM Subject: [CANSLIM] Re: Canslim Digest V2 #294 >Tom Worley and Jim Noetzel, > >American Science and Engineering (ASE) is on my watch list. Thanks >for the added information on it. The company is not listed in Daily >Graphs, printed version. Tom, you wrote "GRS doesn't help at 17." >What's GRS? > >Thanks, >Mary > > - - ------------------------------ Date: Mon, 22 Jun 1998 22:17:33 -0400 From: Craig Griffin Subject: [CANSLIM] Off Subject (re: ATHM, AOL, MSFT) http://www.adweek.com/interactive/IQ052598/iq_06.asp Nice interview with ATHM's CEO. He sees 250 million TV's as "IP enabled" by set top boxes. He says that is a bigger market for MSFT than the 40 million PC's. He says the boxes will be rolled out by the cable companies and put into every home. Then you can use the services and shopping if you want to (they expect most people will gradually start wanting to). E-mail will be free (advertising supported) and a little green light will light up on your cable box to tell you you've got mail. Interesting thinking with big implications for MSFT and many others in the industry if on target. And it will happen fast if he is right (they just upgraded the cable in my neighborhood in Raleigh this month and I noticed the same kind of new roadside boxes in Baltimore a week or two ago). MSFT sort of looks like a breakout the last couple of days BTW. - - ------------------------------ Date: Tue, 23 Jun 1998 09:55:28 -0400 From: Connie Mack Rea Subject: [CANSLIM] OBV/MF [Connie] Members-- These stocks met OBV/MF scan criteria: EQU FFGI OLOG MVSN Only EQU and FFGI are in entry position. I have purchased EQU and FFGI this morning. Connie Mack - - ------------------------------ Date: Tue, 23 Jun 1998 10:45:45 -0400 From: Kam Por Yeung Subject: [CANSLIM] ATI Technologies (ATY.TO) is breaking out It's flying on heavy volume! - - ------------------------------ Date: Tue, 23 Jun 1998 16:59:38 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] OBV/MF [Connie] At 09:55 AM 23/06/98 -0400, you wrote: >Members-- > >These stocks met OBV/MF scan criteria: > > EQU FFGI OLOG MVSN > >Only EQU and FFGI are in entry position. > >I have purchased EQU and FFGI this morning. I know your moto is: All news is already in the stock price. This time however you might want to cheque the news on FFGI. To spare you the effort I'll summarize it here: Friday May 29, 1998: CBT Group Completes Acquisition of The ForeFront Group, Inc. - Business Wire - Regards, - -- Johan Van Houtven - - ------------------------------ Date: Tue, 23 Jun 1998 12:02:59 -0400 From: Connie Mack Rea Subject: Re: [CANSLIM] OBV/MF [Connie] Johan-- You're absolutely right. Am teaching a long-time friend how to run scans and enter orders. He did exactly as I taught him: Buying and selling must be mechanical [for him]. EQU and FFGI survived the scan: Therefore buy. He bought EQU for me, as he should have done. FFGI was cancelled, as it should have been. That FFGI did not recall to mind that it stopped trading on 5-28 was my fault. What system can be more mechanical than one that won't remember? Thanks for the mail, Johan. Connie Mack Johan Van Houtven wrote: > At 09:55 AM 23/06/98 -0400, you wrote: > >Members-- > > > >These stocks met OBV/MF scan criteria: > > > > EQU FFGI OLOG MVSN > > > >Only EQU and FFGI are in entry position. > > > >I have purchased EQU and FFGI this morning. > > I know your moto is: All news is already in the stock price. > > This time however you might want to cheque the news on FFGI. To spare you > the effort I'll summarize it here: > > Friday May 29, 1998: > > CBT Group Completes Acquisition of The ForeFront Group, Inc. - Business > Wire - > > Regards, > > -- Johan Van Houtven > > - - - ------------------------------ Date: Tue, 23 Jun 1998 09:07:02 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] OBV/MF [Connie] <> Which is one of the chief differences between your way of doing things and CANSLIM. A CANSLIM investor would never have entered an order for a company that no longer exists. - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Tue, 23 Jun 1998 12:34:37 -0400 From: Connie Mack Rea Subject: Re: [CANSLIM] OBV/MF [Connie] DB-- You really are an ass hole. Connie dbphoenix wrote: > < He did > exactly as I taught him: Buying and selling must be mechanical [for > him]. > EQU and FFGI survived the scan: Therefore buy. > > He bought EQU for me, as he should have done. FFGI was cancelled, as it > should have been. > > That FFGI did not recall to mind that it stopped trading on 5-28 was my > fault. What system can be more mechanical than one that won't > remember?>> > > Which is one of the chief differences between your way of doing things > and CANSLIM. A CANSLIM investor would never have entered an order for > a company that no longer exists. > > --Db > > _________________________________________________________ > DO YOU YAHOO!? > Get your free @yahoo.com address at http://mail.yahoo.com > > - - - ------------------------------ End of canslim-digest V2 #296 ***************************** To unsubscribe to canslim-digest, send an email to "majordomo@xmission.com" with "unsubscribe canslim-digest" in the body of the message. For information on digests or retrieving files and old messages send "help" to the same address. Do not use quotes in your message.