From: owner-canslim-digest@lists.xmission.com (canslim-digest) To: canslim-digest@lists.xmission.com Subject: canslim-digest V2 #351 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 Friday, August 7 1998 Volume 02 : Number 351 In this issue: Re: [CANSLIM] Connie Mack selling short Re: [CANSLIM] selling short Re: [CANSLIM] How does the world treat Traders? Connie Re: [CANSLIM] selling short [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 Re: [CANSLIM] selling short Re: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 Re: [CANSLIM] selling short Re: [CANSLIM] Connie Mack - Non-Canslim - Purists ignore [CANSLIM] canslim-digest V2 #350 - I'm out of the office Re: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 Re: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 Re: [CANSLIM] DOW down 298.66 Re: [CANSLIM] DOW down 298.66 [CANSLIM] A groaner Re: [CANSLIM] A groaner Re: [CANSLIM] A groaner [CANSLIM] Non-CANSLIM--Purists Please Skip Re: [CANSLIM] Non-CANSLIM--Purists Please Skip Re: [CANSLIM] Non-CANSLIM--Purists Please Skip [CANSLIM] What's up with the oils? Re: [CANSLIM] What's up with the oils? Re: [CANSLIM] What's up with the oils? Re: [CANSLIM] Non CS Following MF/OBV in SHLM, SEH [CANSLIM] Group to watch Re: [CANSLIM] What's up with the oils? An env't victory? Re: [CANSLIM] Non-CANSLIM--Purists Please Skip ---------------------------------------------------------------------- Date: Thu, 06 Aug 98 13:11:58 PDT From: "Walter Stock" Subject: Re: [CANSLIM] Connie Mack selling short > Connie, > Selling short is not anti-CANSLIM. HTMMIS,pgs.108-110. > ARI Ari, Selling short IS anti-canslim except in bear markets. O'Neil says " therefore, my first rule is don't sell anything short during a bull market. Why fight the general tide? .... Save the short selling for bear markets." (HTTMIS, 2nd ed., page 113) Walter Stock Oakville, ONT - Canada - - ------------------------------ Date: Thu, 6 Aug 1998 10:23:40 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] selling short <> Depends on how you define "bear" and "market", Walter. The RUT has declined 20% since April. A number of sectors and groups have been in their own "bear markets" for months. The market as a whole hasn't followed the usual bull/bear cycle for years but has instead adopted a pattern of sector rotation, meaning that it's possible to be both short and long at the same time. One would not have had to fight the general tide in order to short drillers and field services at the beginning of the year. In fact, the general tide had absolutely no effect on the sector at all. - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Thu, 06 Aug 1998 10:28:10 -0700 From: Dan Cash Subject: Re: [CANSLIM] How does the world treat Traders? Connie I am pleased to see you post again. I have missed your willingness to share, on a daily basis, with all of us, your process. Your methodology of entry and exit seems complimentary and basic to any philosophy of investing. And not being a purist to any dogma, I seem to be able to incorporate your approach, as I am trying to understand it, into my behavior. And then there is the side benefit of appreciating your creative use of the English Language!! Connie Mack Rea wrote: I have only two shorts out and both are quite small positions. Though my > 3/7/10EMA and SloSto took me out last week, I did not anticipate the > extent of the fall. One of the good things about the EMA is that it takes > you out without and need not, and cannot, forecast the extent of the > fall. When my EMA gives a buy, I'll return. Is your statement " When my EMA gives a buy, I'll return." referring only to individual issues or are you also referring to indices? > > > > > A trader can make money in this market irrespective that he may not > short. In fact, because the EMA does not forecast the degree of the > correction, you can err by shorting on every sell. Same question. Connotes indices. - - ------------------------------ Date: Thu, 06 Aug 98 14:08:40 PDT From: "Walter Stock" Subject: Re: [CANSLIM] selling short > Depends on how you define "bear" and "market", Walter. The RUT has > declined 20% since April. A number of sectors and groups have been in > their own "bear markets" for months. The market as a whole hasn't > followed the usual bull/bear cycle for years but has instead adopted = a > pattern of sector rotation, meaning that it's possible to be both > short and long at the same time. One would not have had to fight the > general tide in order to short drillers and field services at the > beginning of the year. In fact, the general tide had absolutely no > effect on the sector at all. > --Db Db, Won't argue that the RUT is in rough shape (in fact the index is in negative territory compared to January). Similarly, no argument about the drillers (was long Diamond Offshore last year till November, and have stayed well clear since). Instead, I am playing devil's advocate and simply quoting O'Neil, and his comments on the market as a whole. Is some of it a little outdated? Would I like to play with WONDA??? I personally think that we should be using all of the tools at hand, and shorting is one of them (for those that have the ability and confidence). You may remember that I was one of the members of the list supporting a thread on shorting. Shorting is harder (unless you are participating in our dumpy little market north of the border). We need edification. Hmmm... innocent question : are you and Connie in agreement on the value of the short side? in this market and others? :-) Walter Oakville, ONT - Canada - - ------------------------------ Date: Thu, 6 Aug 1998 12:16:14 -0600 From: Chris Reid Subject: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 The last two days have been quite kind to the technology sector = (emerging leader when this all settles?). All it's sub groups are up = nicely for the day and most were up yesterday. Don't have the time now = to search for individual stocks in these groups, but I'm open to = suggestions. Semiconductors way down today, -14% so far, but they were = the laggards in the last run up so it doesn't surprise me. Technology +1.51% .Computer Peripherals +3.78% .Computers+1.14% .Internet Products & Services+3.86% .Networking+0.67% .Software & Services+1.82% - - ------------------------------ Date: Thu, 06 Aug 1998 14:29:13 -0400 From: Ari Lawson Subject: Re: [CANSLIM] selling short dbphoenix wrote: > < > Selling short IS anti-canslim except in bear markets. > > O'Neil says " therefore, my first rule is don't sell anything > short during a bull market. Why fight the general tide? > .... Save the short selling for bear markets." > > (HTTMIS, 2nd ed., page 113) > > Walter Stock > Oakville, ONT - Canada>> > > Depends on how you define "bear" and "market", Walter. The RUT has > declined 20% since April. A number of sectors and groups have been in > their own "bear markets" for months. The market as a whole hasn't > followed the usual bull/bear cycle for years but has instead adopted a > pattern of sector rotation, meaning that it's possible to be both > short and long at the same time. One would not have had to fight the > general tide in order to short drillers and field services at the > beginning of the year. In fact, the general tide had absolutely no > effect on the sector at all. > > --Db > > _________________________________________________________ > DO YOU YAHOO!? > Get your free @yahoo.com address at http://mail.yahoo.com > > - I assumed that went without saying. Ari - - ------------------------------ Date: Thu, 06 Aug 1998 20:31:11 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 At 12:16 PM 06-08-98 -0600, you wrote: >Semiconductors way down today, -14% so far, but they were the >laggards in the last run up so it doesn't surprise me. Don't know what you are looking at, but the SOX is up +10.4 points as of= now. The semi's I'm daytrading are all up: AMAT 35=A07/16 +1=A03/8 NVLS 41=A01/8 +3=A05/16 TER 22=A013/16 +1=A013/16 KLAC 29=A03/4 +2=A0 INTC 86=A03/4 +2=A05/8 Where did you get the -14% from. Johan Van Houtven / CLICK! N.V. - - ------------------------------ Date: Thu, 6 Aug 1998 11:41:19 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] selling short <> It's not exactly outdated, but plenty of people have noted that this is not a typical bull market. As you know, bull markets begin with certain industries taking their turn in the spotlight. As these rise and then subside, other industries have their turn. Autos, paper, chemicals, housing, technology groups of one sort or another, etc., etc., all have their turn until the last frothy, speculative stage, at which point inflation returns, interest rates rise, and we start all over again (and yes, this is all over-simplified). This time, however, inflation has stayed low and so have interest rates. We haven't had a recession since 1990. So the market has split into various sectors, each of which have gone through their own cycles--in some cases, as with chips, several times. Thus, though "the market" continues to rise, there are generally at least a few groups and/or sectors which are on the decline. And, as others have noted, this continuing rise is at least in part due to the money bubble which continues to work its way through the economy and which provides extraordinary liquidity to the market. None of this was foreseen in either of the HTMMIS editions. I'm hoping O'N addresses at least some of it in his new series. <> I agree. Craig's post was an excellent start. I get the impression, though, that those who are interested in the subject are looking primarily to learn how to do it as opposed to sharing ideas for shorts. And learning how to short takes more than a few posts. I suggest that anyone who's interested in shorting spend at least as much time studying the process as they did studying how to invest on the long side. <> I have no idea. I haven't read his posts on the topic. Whether shorting has value depends on one's financial goals, how much time he has to spend in front of the computer, what tools he has available to him, how much time and effort he's willing to put in to studying the techniques and learning the tools, etc. I suspect most people would rather just take the break and wait until long opportunities present themselves again. That's certainly the HGS attitude, and, to a large extent, it's the CS attitude as well. One must also consider that with the ascendancy of mutual funds and giant brokerage houses, investing on either the long or short side isn't what it used to be. The potential power of large buy and sell programs has to be taken into account, particularly when one of those buy programs might be used to squeeze short-sellers and try to prevent their driving down the market to the point where individual investors might be tempted to step up their share redemptions. But that's what makes all of this so much fun :) - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Thu, 06 Aug 98 14:59:06 PDT From: "Walter Stock" Subject: Re: [CANSLIM] Connie Mack - Non-Canslim - Purists ignore CONNIE ! Very happy to see a post from you. I miss your technical analysis, and your comments on the action in particular stocks. I also miss your colorful literary allusions. I only hope that any "Guildensterns" on our list don't wind up with the same fate. Speaking of Shakespeare, are you returning as Banquo or Macduff? >> This advice should taboo every member, for you have not been told the >> truth. >> >> Members might infer themselves in this metaphor: Not every tree would = be >> worse off to find itself a Stradivarius or just a banjo. But the tree >> might be angered to find itself a cardboard box or a toothpick. >> >> Respectfully, >> >> Connie Mack Trees to matchsticks might be a metaphor for some. In this market Connie, we need all the "truth" and help that we can get, especially from experienced traders such as yourself. Your analysis can complement Canslim. I can't speak for others on the list, but I've got the welcome mat out. Walter Stock Oakville, ONT - Canada e-mail: wstock@globalserve.net - - ------------------------------ Date: Thu, 06 Aug 1998 10:58:40 -0600 From: "William Couch" Subject: [CANSLIM] canslim-digest V2 #350 - I'm out of the office I am out of the office until August 24. If you need immediate assistance, = please contact Dan Herrmann or Kevin Dick. Bill - - ------------------------------ Date: Thu, 6 Aug 1998 13:25:48 -0700 (PDT) From: TM Subject: Re: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 Way to go, Johan! I've been watching SOXX for days and haven't known what to do. I have many questions. How did you know to daytrade these? How did you assess the risk? Is that why you are trading so many, to spread the risk/opportunity? What and when did you do it? How will you know when to get out? Anthing else I need to know? Tannis - ---Johan Van Houtven wrote: > > At 12:16 PM 06-08-98 -0600, you wrote: > >Semiconductors way down today, -14% so far, but they were the > >laggards in the last run up so it doesn't surprise me. > > Don't know what you are looking at, but the SOX is up +10.4 points as of now. > > The semi's I'm daytrading are all up: > > AMAT 35 7/16 +1 3/8 > NVLS 41 1/8 +3 5/16 > TER 22 13/16 +1 13/16 > KLAC 29 3/4 +2  > INTC 86 3/4 +2 5/8 > > Where did you get the -14% from. > > > > Johan Van Houtven / CLICK! N.V. > > > > > - > > _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Thu, 06 Aug 1998 23:56:27 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] Date: Thu, 6 Aug 1998 14:14:41 -0400 Tannis, First of all I should note that the following has nothing to do with CANSLIM. Now that we have that out of the way, I'll try to answer your questions: First I'll explain how I daytrade and what tools are necessary for what I am doing: Tools: 1) Real-time, streaming, i.e. continually updating quotes. With T&S list in spreadsheet form and real-time charting. I use Interquote. ( http://www.interquote.com/ ) 2) Charting program. Nothing fancy necessary (but it sure would help). I use the charting program that comes with Quotes Plus V2 and Daily Graphs Online. 3) 10 day intraday charts at: http://www.tscn.com/wsc/Corporate_Snapshot.html?Button=3D10D&TSym=3DKLAC This link might not work for everyone, because when you access this link it looks for "cookies" on your harddisk. Try going through http://www.tscn.com/ and navigate your way to the charts. Fill in a stock symbol. Then click on the 10-day chart. 4) A graphics snapping program like Hyper Snap DX (http://www.hyperionics.com/ ) so that you can cut out the 10-D intraday chart and other intraday charts and paste it into a paint program like PaintShop Pro, so that you can draw trendlines. Method: Preparation. Make that P_R_E_P_A_R_A_T_I_O_N. If your are not prepared, don't trade. 1) Which stocks am I going to trade? If I want to be long, I select stocks which seem to have relatively little downward compared to upward potential. I never short while daytrading as I my technique requires that I get my shares FAST when I want them. I've noticed that getting the number of shares I want to short takes much to long, so I don't short. (If I lived in the States, I'd solve this "problem" by phoning my broker and ask him to have the shares available for shorting.) So how to select those stocks? Depends on the current state of the market. What is in favor now? Super gorrila stocks. Look at the Nasdaq 100, NDX, for example. Held up much better than other indices. Traded LU most of the time, the last 2 weeks. Do you want to trade in a group that has just recently, like in the last 2 weeks, been trashed. No. Too much overhead. So we look for a group that is out of favour, but is showing some strenght/potential. I look for a group that has had its fierce downward draft and is now in a basing period. We are talking months of downward draft and months of basing. The group must also have potential (i.e. a HGS, high growth stocks, group). Scan them all, you come across the semiconductor groups. Look at the individual stocks in the group(s) and pick those that have decend fundamentals, and trade at least a few hundred thousand shares a day. The more the better. (Not always, but I won't go into that now.) 2) After you have selected the potential stocks. Draw the trendlines and note the support/resistance areas. I use multi-year, 1 year, 3 months and 1 month charts. Keep the best looking stocks. How to pick? What is best? Those that are close to major support areas like mid- and long term trendlines, 50MA's etc. This is a topic in and of itself. 3) Look at the 10-day intraday charts of the selected stocks. Pick those that look best. I only need 1 or 2 to trade. The others I will keep an eye on in Interquote together with an index (if available). Gives you an idea of what the group is doing. 4) Input the stocks you'll trade and the ones you will watch in Interquote. Also have indexes like the DJIA, NASDAQ, SPX, NDX and others you deem important in your quote screen. I also input the ADV(30): av daily vol during last 30 days. 5) During the trading day I while cut out the 10-day intraday and 1-day intraday charts and draw trendlines on them and mark support/resistance area's. If I see a potential trade (see preparation stage) comming up I watch the real-time T&S list closely. This is probably the most crucial part of the kind of trading I do. You have to get a feel for the momentum of the trading. I can see and feel the trades comming in. Others out there are watching the same thing it seems. I have my BUY order ready, I just have to press "GO" and the order is off to my broker. Then I check the order status.=20 Maybe it is important to note that I never buy less that 1000 shares. That is the absolute minimum to make the kind of daytrading I do worthwhile. I already know where I'm going to sell of course. This is often 0.5$ to 1$ higher. Near a resitance area or resistance trendline. I watch the T&S closely. Have my sell order ready. Often have 2 or 3 possible sell orders perpared, so I can select the price I can get quickly. We are often talking minutes, seldom more than a few hours. Can you make money consistenly? I do. (Did 96 of these intraday trades this year. Only 3 that failed. Yes, I know that sounds highly improbable.) Much harder for me to write it all down than to do. Probably left out quite a number of things that I will think of when I post this reply. Some things are to hard to describe in words, like the intraday patterns that have a high chance of succes, the RT analysis of the T&S list, where you visually filter out the 100, 200, 300 shares etc. trades. Only look at 1000 shares and up. Unless you are in an exception situation like when there is a panic sell-off and the "hundies" sell in panic (while MMs, whom often are expert technicians, are having fun) keep your ammo ready to buy big. Etc, etc. I'm afraid that this is the best I can do to explain it in words. It most probably is something you would want to see, so you can ask questions as things occur. If you are ever in Belgium, I'll be glad to show you. Have fun, Johan At 01:25 PM 06-08-98 -0700, you wrote: > >Way to go, Johan! > >I've been watching SOXX for days and haven't known what to do. =20 >I have many questions. > >How did you know to daytrade these? How did you assess the risk? Is >that why you are trading so many, to spread the risk/opportunity? =20 >What and when did you do it? How will you know when to get out?=20 >Anthing else I need to know?=20 > >Tannis > > > >---Johan Van Houtven wrote: >> >> At 12:16 PM 06-08-98 -0600, you wrote: >> >Semiconductors way down today, -14% so far, but they were the >> >laggards in the last run up so it doesn't surprise me. >>=20 >> Don't know what you are looking at, but the SOX is up +10.4 points >as of now. >>=20 >> The semi's I'm daytrading are all up: >>=20 >> AMAT 35=A07/16 +1=A03/8 >> NVLS 41=A01/8 +3=A05/16 >> TER 22=A013/16 +1=A013/16 >> KLAC 29=A03/4 +2=A0 >> INTC 86=A03/4 +2=A05/8 >>=20 >> Where did you get the -14% from. >>=20 >>=20 >>=20 >> Johan Van Houtven / CLICK! N.V. >>=20 >>=20 >>=20 >>=20 >> - >>=20 >>=20 > >_________________________________________________________ >DO YOU YAHOO!? >Get your free @yahoo.com address at http://mail.yahoo.com > > >- > > Johan Van Houtven / CLICK! N.V. - - ------------------------------ Date: Thu, 6 Aug 1998 20:34:03 -0400 From: "Tom Worley" Subject: Re: [CANSLIM] DOW down 298.66 "naked" always means you have sold the option (thus don't own the option position) without an offsetting equity position. Examples: you sold calls (sold the right to someone else to purchase stock from you at a fixed price) without already owning the stock that may have to be delivered you sold puts (sold to someone else the right to "put", or sell, stock to you at a fixed price without already having a short position in that stock. If you buy puts or calls, without having a position in the underlying stock, then your options position is a long position. Tom W - -----Original Message----- From: Nelson E. Timken, Esq. To: canslim@lists.xmission.com Date: Thursday, August 06, 1998 1:03 PM Subject: Re: [CANSLIM] DOW down 298.66 >Naked means you don't own the underlying security, just the option. > >Nelson > - - ------------------------------ Date: Fri, 7 Aug 1998 00:33:57 EDT From: Subject: Re: [CANSLIM] DOW down 298.66 Nice to get some quality post on this list after a while. Welcome back Tom. In a message dated 98-08-06 20:37:31 EDT, you write: << Subj: Re: [CANSLIM] DOW down 298.66 Date: 98-08-06 20:37:31 EDT From: stkguru@netside.net (Tom Worley) Sender: owner-canslim@lists.xmission.com Reply-to: canslim@lists.xmission.com To: canslim@lists.xmission.com "naked" always means you have sold the option (thus don't own the option position) without an offsetting equity position. Examples: you sold calls (sold the right to someone else to purchase stock from you at a fixed price) without already owning the stock that may have to be delivered you sold puts (sold to someone else the right to "put", or sell, stock to you at a fixed price without already having a short position in that stock. If you buy puts or calls, without having a position in the underlying stock, then your options position is a long position. Tom W -----Original Message----- From: Nelson E. Timken, Esq. To: canslim@lists.xmission.com Date: Thursday, August 06, 1998 1:03 PM Subject: Re: [CANSLIM] DOW down 298.66 >Naked means you don't own the underlying security, just the option. > >Nelson > - ----------------------- Headers -------------------------------- Return-Path: Received: from relay19.mx.aol.com (relay19.mail.aol.com [172.31.106.65]) by air05.mail.aol.com (v47.2) with SMTP; Thu, 06 Aug 1998 20:37:31 -0400 Received: from lists.xmission.com (lists.xmission.com [198.60.22.7]) by relay19.mx.aol.com (8.8.8/8.8.5/AOL-4.0.0) with SMTP id UAA05861; Thu, 6 Aug 1998 20:37:18 -0400 (EDT) Received: from domo by lists.xmission.com with local (Exim 1.82 #1) id 0z4aVp-0003P9-00; Thu, 6 Aug 1998 18:36:05 -0600 Received: from (netside.net) [205.159.140.2] (root) by lists.xmission.com with esmtp (Exim 1.82 #1) id 0z4aVm-0003Ok-00; Thu, 6 Aug 1998 18:36:02 -0600 Received: from txw (stkguru@sunny.netside.net [205.159.140.2]) by netside.net (8.8.8/8.7.3) with SMTP id UAA22716 for ; Thu, 6 Aug 1998 20:37:10 -0400 (EDT) From: "Tom Worley" To: Subject: Re: [CANSLIM] DOW down 298.66 Date: Thu, 6 Aug 1998 20:34:03 -0400 Message-ID: <01bdc19b$13dbb760$0f02000a@txw> MIME-Version: 1.0 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: 7bit X-Priority: 3 X-MSMail-Priority: Normal X-Mailer: Microsoft Outlook Express 4.71.1712.3 X-MimeOLE: Produced By Microsoft MimeOLE V4.71.1712.3 Sender: owner-canslim@lists.xmission.com Precedence: bulk Reply-To: canslim@lists.xmission.com X-No-Archive: yes >> - - ------------------------------ Date: Thu, 06 Aug 1998 23:04:50 -0700 From: Dan Cash Subject: [CANSLIM] A groaner Once upon a time there was a little yellow toad crying in the forest. The Good Witch came along and asked the little yellow toad, "Why are you crying, my friend?" The little yellow toad said, "All my friends are green and I'm yellow. I want to be green like all my friends...sniff, sniff." The Good Witch replied, "No problem!" And she tapped the little yellow toad with her magic wand and the little yellow toad turned green...all except his private parts, which remained yellow. "Oh no!!" exclaimed the little toad, "I can't go through life all green except for my private parts! You have to make me green all over!" The Good Witch said, "Sorry, I don't do private parts. You will have to go see the Wizard!" So, off the little toad went to see the Wizard. The Good Witch continued on into the forest where she came upon a little brown squirrel crying very hard. "Why are you crying, little brown squirrel?" the Good Witch asked. "Because," said the little brown squirrel, "all my friends are red and I want to be red, too...sniff, sniff." "No problem!" said the Good Witch. And she tapped the little brown squirrel and turned him red... all except his private parts, which remained brown. "Oh, no!!" exclaimed the little squirrel, "I can't go through life all red except my private parts! You have to make me red all over!" But the Good Witch said, "Sorry, I don't do private parts. You will have to go see the Wizard!" But the little squirrel started crying harder and said, "But I'm new around here! I don't know the Wizard! How will I find him??" And the Good Witch said, "Oh, that's easy! Just follow the yellow prick toad...." - - ------------------------------ Date: Fri, 7 Aug 1998 02:29:33 EDT From: Subject: Re: [CANSLIM] A groaner Not an appropriate post! - - ------------------------------ Date: Thu, 06 Aug 1998 23:34:19 -0700 From: Dan Cash Subject: Re: [CANSLIM] A groaner Sorry, inadvertently included in canslim TrdStation@aol.com wrote: > Not an appropriate post! > > - > - - ------------------------------ Date: Fri, 7 Aug 1998 05:51:08 -0700 (PDT) From: dbphoenix Subject: [CANSLIM] Non-CANSLIM--Purists Please Skip Since the group has decided to re-embrace daytrading, perhaps thoseamong us who consider themselves to be intermediate to long-term value players might enjoy a discussion of bottom-fishing. While purists will prefer to buy high and sell higher, value players will prefer to stake their claims a bit earlier. I'm sure the importance of Wednesday hasn't been missed by anyone. Some traders called it a selling climax, while others bemoaned the fact that--to them--there was not yet enough fear on the floor. Tuesday is the first day of O'N's window, so we'll just have to see. This go-round at least, all the major averages except for the RUT reached their 200d or a major trendline at about the same time, which makes counting easier. A retest shouldn't come as a big surprise, but intermediate to LT investors probably won't care one way or the other. But whether the bottom for this particular leg has been reached or not, the chip, chip equipment, and, possibly, disc drive stocks look as though they may be ready to rejoin the party. KLAC has been behaving particularly well, and APM also bears watching. Keep in mind that stocks such as these will be held not for a couple of days, but several months or more. - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Fri, 07 Aug 1998 16:31:20 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] Non-CANSLIM--Purists Please Skip >Since the group has decided Not nice of you (800+) guys to hold a meeting and not at least inform me about it. >to re-embrace daytrading, perhaps >those among us who consider themselves to be intermediate to long-term >value players might enjoy a discussion of bottom-fishing. Time for Jeff to rename the group? We now have CANSLIM, daytrading and value-ortiended trading and investing. But I'm quite sure we will go back to CANSLIM mostly, when we get a new buy signal. The count has started. All-though I'm not holding my breath, as a "W" formation with a least a retest is the most probable scenario IMO. >But whether the bottom for this particular leg has been reached or >not, the chip, chip equipment, and, possibly, disc drive stocks look >as though they may be ready to rejoin the party. I agree. SOX almost up 8% today. >KLAC has been >behaving particularly well, and APM also bears watching. Keep in mind >that stocks such as these will be held not for a couple of days, but >several months or more. I'll make a bold MID to LONG term prediction: Semi's will do better that diskdrives. Diskdrives are almost a commodity, low margin business. In the short term DDs will probably also do well, as they are oversold. - -- Johan Van Houtven - - ------------------------------ Date: Fri, 7 Aug 1998 07:41:46 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] Non-CANSLIM--Purists Please Skip <