re: [CANSLIM] CANSLIM - The Daytime Soap

From: "Michael R. Jeffers" <m-jeffers@usa.net>
Subject: re: [CANSLIM] CANSLIM - The Daytime Soap
Date: Sun, 06 Apr 1997 10:36:27

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You gave me pause.

After an simple hour or two (or three), with wife and kids telling me to
come up for air, I agree that it is a tough call, but one I'm compelled to
make.  I looked at other bank and S&L's and they all got hammered.  CEBC
was already in a gentle saucer pattern, and although there was insane
volume, it was not deterred.

There is a 7 to 8% drop from rim to base of the saucer, with the base
lasting around 5 weeks (this is all from memory, I don't have the chart in
front of me).  As it approaches the other rim, I feel the stop loss should
work excellent here.  If there is a handle, it should drop no more than 50%
of the saucer, or 3 - 4%.  If I see that drop, I get out with little
damage.  If the stock continues up, of course I gain.

After saying all of that (and reading what Tom had to say about tech stocks
MAYBE coming back in vogue, I dusted off some old charts and found MSCC.
I've really got to spend time with the family, so I won't go into long
explanations as to why I like it.  I do see good chart pattern, and the IBD
numbers are generally favorable.  Finally, its group seems to be strong.  I
think it to be a better call than the SNM, which I will not buy at this time.

Once again, this great bunch of incisive minds comes to my rescue.

At 03:27 AM 4/6/97 -0400, you wrote:

>one little note on CEBC: not too many players would go long a bank 
>stock right after the fed starts raising rates -- so i take this to
>mean that you think the long bond (whose rate is of course not set 
>by the fed) is now very near the top of its trading range
>
>could well be, i think it's a tough call -- very interesting
>
>mike
>

Just Little 'Ole Me,

			Michael R. Jeffers

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