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Two excellent posts with which I agree. These type of posts
are the reason I stay here in spite of the volume of
meaningless posts which my delete key rapidly takes care of
when I see who the post is from. BTW, I sure get a lot of
sex related mail since I've been posting here. Wonder if
there is any relationship. Maybe they think we're a bunch
of horny geezers supressing our desires by looking at
charts. Frankly, a nice looking chart gives me a better
thrill. My wife says I'm over the hill so this must prove
it.
Bob Doeden
Chicago
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stocks@xxxxxxxxxx wrote:
> Since the major averages are above their 200 day moving
> averages,
> there is little doubt in my estimation that the bull is
> alive and
> well. The fact that the bull market is intact is
> confirmed by the
> high level of the McClellan summation index. Also, the
> Nasdaq
> market just recently set an all-time high. A change of
> leadership
> is taking place as the Dow (large-cap) stocks are moving
> sideways to down
> and the smaller cap stocks are taking the lead. This is
> shown clearly
> in today's issue of Investor's Business Daily chart of
> comparative
> relative strength. During this correction, comparative
> relative
> strength of market sectors should give us a clue as to
> which
> sectors to invest. The better performing sectors include
> the
> energy services sector. Also, natural gas has sprung to
> life.
> The fundamentals of most stocks in these 2 sectors are
> very good
> with peg ratios of less than one in many of the
> securities.
>
> At 02:08 PM 8/30/97 -0400, Jim Greening wrote:
> >All,
> > I've been trying to decide if we were still in a
> bull market, a bull
> >market correction, or a bear market and I've decided I'm
> still on the side
> >of the bull. Let me walk you through my logic and see if
> you agree. First
> >of all, my portfolio hit an all time high Friday, so we
> must be in a Bull
> >market <G>. Next, the breadth of the market is still
> positive, more
> >gainers than losers. Then, the Russel 2000 set a new all
> time high Friday.
> > Finally, the number of bullish investment advisors fell
> to 32% this week.
> >That's near an all time low and a very positive
> contrarian indicator. On
> >the negative side the nifty fifty have taken some large
> hits in the past
> >few weeks. The large cap stocks as represented by the
> S&P 500 are
> >definitely in a short term down trend. To me that all
> adds up as a
> >continuing bull market which is correcting by sectors.
> Right now the large
> >caps are taking hits and the small caps are recovering.
> Does anyone agree
> >or disagree? What do you think?
> > The reason that is important to me is that with that
> conclusion, I
> >won't be focusing on shorting the market. I think the
> amount of new money
> >still coming into the market makes shorting the market
> risky right now.
> >Instead I'll continue with my long positions, but will
> concentrate on small
> >caps (less than $1 B) with good fundamentals. I might
> short an occasional
> >large cap that I think is way over valued, but that won't
> be my primary
> >focus. Back to the picks. This week I'm going with
> National Technical
> >Systems (NTSC) which Harry Kobetitsch called to our
> attention last week and
> >GT Interactive Software (GTIS).
> > GTIS at 10 has been bouncing along the bottom of a
> Short Term Up Trend
> >Channel for a couple of months. The top of the STUTC is
> at 14 1/4 and the
> >bottom at 9 1/2. It dropped from a high of 26 3/4 last
> October to a low of
> >5 7/8 this April. It moved up from there breaking out of
> an Intermediate
> >Term Down Trend Channel in May and giving a MetaStock
> ROC, ADXR, S/C buy
> >signal. The ROC just turned positive after being
> negative for most of the
> >last couple of month's sideways to slightly up movement.
> The S/C is
> >slightly negative, but flat. The ADXR just dropped below
> 21 which
> >indicates no trend now. It all looks like a setup for a
> breakout,
> >hopefully to the upside <G>. The fundamentals are good
> with a PSR 0f 1.62,
> >PE of 26, Debt/Equity of 0.14, market cap of $624 M, 69%
> insider
> >ownership, revenue growth of 56% and earnings growth of
> 29% last year. I'm
> >going to open a position Tuesday. I'll set my target at
> 25, just under the
> >96 high and my stop under the STUTC at 8 3/4.
> > NTSC at 7 7/8 broke out to a new all time high
> Thursday on large
> >volume after a couple of months of sideways movement. It
> is in an
> >intermediate and long term up trend. The top of the
> Intermediate Term Up
> >Trend Channel (ITUTC) is currently at 9 1/8 and the
> bottom at 6 5/8. The
> >indicators all reflect a strong up trend in progress.
> Since this is a
> >fairly narrow ITUTC, I won't set a target, but will set
> my stop under the
> >channel. The fundamentals look good with a PSR of o.92,
> PE of 19.22,
> >Debt/Equity of 0.66, market cap of almost $46M, 32%
> insider ownership, and
> >revenue growth of 13.5% and earnings growth of 73.7% last
> year. I'll open
> >a position Tuesday with a stop at 5 3/4.
> > I'll attach RUT, SPX, GTIS, and NTSC charts in GIF
> format for everyone
> >on the email list. If you are not on the list, and want
> on, just yell.
> >
> >Jim
> >
> >
> >
> >
> >
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