From: canslim-owner@xmission.com (canslim Digest) To: canslim-digest@xmission.com Subject: canslim Digest V1 #321 Reply-To: canslim@xmission.com Sender: canslim-owner@xmission.com Errors-To: canslim-owner@xmission.com Precedence: canslim Digest Sunday, October 19 1997 Volume 01 : Number 321 In this issue: [CANSLIM] Fw: New Version Of Daily Graphs Re: [CANSLIM] Fw: New Version Of Daily Graphs [CANSLIM] Reading Index Charts and Predicting Future Bahavior Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) Re: [CANSLIM] Introduction [CANSLIM] Don't lie to me darling. [CANSLIM] Has anybody ever seen two 1% down days with increasing volume on all indexes? [CANSLIM] Diodes (DIO) Re: [CANSLIM] NO! Not another 75 EPS stock!!! Re: [CANSLIM] EESI (Eastern Environmental) [CANSLIM] NO! Not another 75 EPS stock!!! re: [CANSLIM] NO! Not another 75 EPS stock!!! Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) [CANSLIM] Fw: Weekly Economic Update [CANSLIM] Call/ Put Ratio [CANSLIM] selling stocks Re: [CANSLIM] selling stocks See the end of the digest for information on subscribing to the canslim or canslim-digest mailing lists and on how to retrieve back issues. ---------------------------------------------------------------------- Date: Fri, 17 Oct 1997 20:11:53 -0400 From: "Charles F. Corbit III" Subject: [CANSLIM] Fw: New Version Of Daily Graphs FYI - Sound like it might be free for a least a little while more. - ---------- > From: DailyGraphs > To: 'ccorbit@sprynet.com' > Subject: New Version Of Daily Graphs > Date: Friday, October 17, 1997 7:14 PM > > DAILYGRAPHS INC. > > Daily Graphs Online has a new version, 2.1, available, so we are encouraging all > beta-testers to download the software at their earliest convenience. Simply go > to the Daily Graphs home page at http://www.dailygraphs.com and access the Dow > nload page for instructions on downloading the software. > > The new version of Daily Graphs Online does not provide any new information, but > it does resolve some of the minor glitches discovered. The older version of Da > ily Graphs Online will not function properly by Tuesday, October 21st, so pleas > e download the new version prior to then if you want to continue to beta-test. > Again, while we are in beta-testing, the service is completely free. > > Some of you may have already noticed, Daily Graphs Online is now providing daily > updates for relative strength and EPS ranks, and accumulation/distribution grad > es. The reports that include these numbers, such as Top Relative Strength Stock > s and Top Earnings Per Share Rank Stocks, are also being updated daily. > We have added these new features to address the overwhelming demand for them thr > ough your emails. > > Please continue to feel free to send us your comments and suggestions. Thank yo > u for being a beta-tester. > > Daily Graphs Design Team > We ------------------------------ Date: Fri, 17 Oct 1997 20:10:07 -0400 From: "Tom Worley" Subject: Re: [CANSLIM] Fw: New Version Of Daily Graphs I got similiar info today when DG folks called me at work to have me fax over a copy of the very strange chart I got last night on Seagate (SEG). They are intrigued and wanted to look at it, since it appears to be a composite of at least three, and possibly four, different stocks. I took the opportunity to ask how much longer they would be in beta testing, and was told they would be uploading a new software version probably next week, and would remain in beta testing for probably a month after that. Keep finding errors in data or whatever, fellow beta testers, it's up to us to drive the programmers crazy and keep it in free beta testing as long as possible. Nice to know that they are starting to make some adjustments to the feedback they have been getting about what is needed. Daily updates to give the same info already available in IBD seems like a minimum to me. Not mentioned is that the RS line also appears to be updated daily. BTW, I did ask if they plan to offer a discounted subscription fee to those already taking the book version, and was told yes, if they are taking both books on a weekly basis. He couldn't quote a price, however, it sounded like it hasn't been set yet. Any statements or opinions are strictly my own and not that of my employer. My comments should not be interpreted as a recommendation of any kind. I am a licensed (inactive) broker and an active investor. All investors should do their own research prior to any investment, especially one learned about on the Internet. Hopefully my comments will better inform and educate all investors. tom w - ---------- > From: Charles F. Corbit III > To: Tom Wallace ; CANSLIM GROUP > Subject: [CANSLIM] Fw: New Version Of Daily Graphs > Date: Friday, October 17, 1997 8:11 PM > > FYI - Sound like it might be free for a least a little while more. > > > ---------- > > From: DailyGraphs > > To: 'ccorbit@sprynet.com' > > Subject: New Version Of Daily Graphs > > Date: Friday, October 17, 1997 7:14 PM > > > > DAILYGRAPHS INC. > > > > Daily Graphs Online has a new version, 2.1, available, so we are > encouraging all > > beta-testers to download the software at their earliest convenience. > Simply go > > to the Daily Graphs home page at http://www.dailygraphs.com and access > the Dow > > nload page for instructions on downloading the software. > > > > The new version of Daily Graphs Online does not provide any new > information, but > > it does resolve some of the minor glitches discovered. The older > version of Da > > ily Graphs Online will not function properly by Tuesday, October 21st, so > pleas > > e download the new version prior to then if you want to continue to > beta-test. > > Again, while we are in beta-testing, the service is completely free. > > > > Some of you may have already noticed, Daily Graphs Online is now > providing daily > > updates for relative strength and EPS ranks, and > accumulation/distribution grad > > es. The reports that include these numbers, such as Top Relative > Strength Stock > > s and Top Earnings Per Share Rank Stocks, are also being updated daily. > > We have added these new features to address the overwhelming demand for > them thr > > ough your emails. > > > > Please continue to feel free to send us your comments and suggestions. > Thank yo > > u for being a beta-tester. > > > > Daily Graphs Design Team > > We ------------------------------ Date: Sat, 18 Oct 1997 11:25:43 -0700 From: Hemant Rotithor Subject: [CANSLIM] Reading Index Charts and Predicting Future Bahavior OK, here are the results of the energy that I spent over the weekend in trying to interpret major index charts and predicting their future, a futile exercise as we know. - -The index charts are from Monday, Oct 20 edition of IBD - -My feeling is that we will probably go up but what I am predicting is a worse case scenario in case bearish sentiment persists so it should be read in that light, that is, I am trying to predict a worse case bearish scenario (which may not happen). The reading I am getting can be summarizes as Mini head-and-shoulderette (HS) on Index charts. The HS is in formation on NASDAQ, DOW, and S&P charts so they are collaborating as far as the path is concerned. NASDAQ CHART - -The left shoulder started forming around Aug 29 - -The left shoulder ends and head formation starts about Sept 26 - -The head ends and the right shoulder will start forming about NOW (next week) - -The right shoulder should form until mid of November - -The index will start to drop after breaking through the neckline after right shoulder formation is complete - -For the NASDAQ chart the neckline is about 1675 - -Predicted fall for NASDAQ is about 75 points after HS formation (The head is from 1675-1750) that is the index will fall between 1575-1600. - -During right shoulder formation we should go up to 1700 in the process (the reason why I did not sell yesterday). - -After the HS formation I think the index will consolidate for a while and from there it is off to races (most likely do a cup and a handle and take off from there) DOW Chart - -The HS formation is about the same as NASDAQ described above - -For Dow the head is between 7825-8140 - -When it breaks out of HS pattern the downside is about 315 points so we may go and see 7510 in the process. S&P Chart - -Similar formation - -the head is from 940-980 with a down side of 40 points likely to hit 900 on breakdown. For DOW and S&P charts after the HS formation we will probably make a double bottom chart with bottom at 7600 and top at 8150 and the next up move will take Dow to 8700 and S$P to 1020. Ah another one where I could see an interesting pattern formation was IBD's high technology chart - -This one did a rectangular consolidation between 400 and 430 and it broke down through the rectangular bottom on a high volume with a min down side target of 30 points (to about 370); you can take a look at the companies in this sector in the IBD to see who is likely to get affected. So that is my idle banter will welcome any agreements/disagreements that will enlighten or show new and additional insights. As you can see, I am generally bullish for the fuure because of great economical conditions but could have a possible blip in between; there goes my neck on the chopping block. Again as I said the scenario described may not occur and we may continue to go up straight. Hemant - -- Disclaimer: Opinions expressed in this document are those of the author. Digital Equipment Corp., 110 Spit Brook Rd, ZKO2-3/N30, Nashua, NH 03062 ------------------------------ Date: Sat, 18 Oct 1997 12:21:42 -0600 From: "Kirby Benson" Subject: Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) Tom and all, I don't know if there is any place in CANSLIM for "intuition" but I started to sell off all my holdings during the previous week and was completely out in cash by 3 PM eastern the 15th (SOCR was the last to go at 12 1/8). Now, the question: what are the indicators to look for during this "correction" as far as getting back in is concerned? Any comments will be appreciated, I thought other newbies such as myself would be interested in any ideas from the old timers. Thanks Kirby Benson kbenson@zianet.com - -----Original Message----- From: Tom Worley To: canslim@mail.xmission.com Date: Friday, October 17, 1997 5:39 PM Subject: Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) >Hemant, while my other personality (which naturally has perfect >20:20 hindsight) is kicking me for not locking in some profits and >then anticipating this nasty selloff so I could buy back cheaper ------------------------------ Date: Sat, 18 Oct 1997 12:32:40 -0800 From: "Patrick Wahl" Subject: Re: [CANSLIM] Introduction > From: Sam Funchess > As far as books I have read Jesse Livermore: Speculator King and The > stock Market Operator (I think that is the name, some one will correct > me if I am wrong). One was a story about Jesse (it was under a > fictitious name) which was great and the other was written about Jesse's "Reminiscences of a Stock Operator", by Edwin Lefevre, very good, recommended reading. ------------------------------ Date: Sat, 18 Oct 1997 19:47:04 -0400 From: Connie Mack Rea Subject: [CANSLIM] Don't lie to me darling. Members-- Only today have I had time to run through most of my indicators and some charts. Can't remember the last time I ran scans on 18 indicators and had 18 giving sell signals. Most signals came on Thursday and Friday. Remember that my indicators are set for the short and very short term. However, not a one looks amenable to any change of direction within the next two to three days. I am 50% cash. I hope to be 90% out on Monday. I will then be holding one stock long [INFN] and might re-examine KM. By more luck than good sense, I never took a position in it even though it gave a buy for me three days ago. Each day that I could look at the market it was a down market. Irrespective of all other considerations, I will not buy long into a declining market. Almost as absolute a rule is that I do not buy before 10:00. I am looking for a couple of shorts. Have settled on none yet. I use margin on both sides of the market--but only when I can watch every minute. But from the look of my charts, there are dozens of candidates. Should anyone wish to write, I have here in Florida a new address: rea1998@gte.net Connie Mack ------------------------------ Date: Sat, 18 Oct 1997 19:54:04 -0400 (EDT) From: PPNewell@aol.com Subject: [CANSLIM] Has anybody ever seen two 1% down days with increasing volume on all indexes? If so when, I don't even think this happened in 1987. Note: I have a hard time seeing anything more than a 10% correction or so the market is reflecting higher interest rates already. "Unless", someone knows something I don't. Peter Newell ------------------------------ Date: Sat, 18 Oct 1997 20:37:02 -0400 From: "Charles F. Corbit III" Subject: [CANSLIM] Diodes (DIO) Looking for thoughts on Diodes (DIO). BTW - I found this one just messing around doing scans at Wallstreet Research Network. This is a great site with a ton of links, a one stop place to do a quick analysis of a comp. Best of all, it's FREE !! www.wsrn.com Diodes Incorporated manufactures, purchases and sells discrete semiconductor devices, and integrated circuits. For the six months ended 6/30/97, net sales increased 20% to $32 million. Net income increased 72% to $2.4 million. Revenues benefited from an increase in customer demand resulting in an increase in the number of units shipped. Earnings also benefited from the Company's improved inventory control. Oct. 17, 1997, Diodes Inc. announced Sept. 1997 thee-month earnings per share of $0.24 vs $0.14 for same period a year ago. Nine month earnings of $0.69 vs $0.40 for same period a year ago. Up 11% on Friday !!! I am not sure what to make of the chart. Price ~15 EPS 98 RS 92 A/D B Timeliness A LstQtr EPS +71% Grwth 65% GrpRS 87 Debt 22% U/D 1.8 PE 16 Float 2.6MM ShrsOut 4.9MM AvgVol 32K Funds 2% To tell you the truth, I am not even why I am asking, I am .65 margined and in this current environment I don't think it is wise to use any more borrowed money ! Just keeping an eye out I guess. TIA, Charlie ------------------------------ Date: Sat, 18 Oct 1997 20:50:25 -0400 (EDT) From: Ironheadmr@aol.com Subject: Re: [CANSLIM] NO! Not another 75 EPS stock!!! In a message dated 97-10-17 11:51:09 EDT, you write: << it's a proprietary IBD/DG formula, not a simple linear model as you or i might concoct -- i've posted ian woodward's box system w/ more on this here a few times -- using it, these are called "box 7" plays -- jim horan and others routinely post box 7 lists on delphi, i have no idea why it remains such a mystery on this list despite its discussion every coupla months -- for some real details, visit woodward's forum at aol -- his approach is sometimes called "canslim on steroids" -- i hope this has helped >> Care to elaborate one more time on the above method for the new guys out here??? Thanks ------------------------------ Date: Sat, 18 Oct 1997 20:53:40 -0400 (EDT) From: Ironheadmr@aol.com Subject: Re: [CANSLIM] EESI (Eastern Environmental) In a message dated 97-10-17 12:46:01 EDT, you write: << For those that like environmental stocks, here's one with good CS nrs and ltrs. Only fault I saw in a quick glance was the up/down was only 1.0. Otherwise, everything was coming up roses, or land fills or something. And it's got options too. Worthy of note, if correct (my data from DG Online) is a float of 5.4 mil shares against an issue of 20 mil shares. The sharp revenue increases suggests to me some acquisitions, hence the float may be considerably larger (a la ACTC). >> What is meant by the up/down, how are you figuring it, and what are the good & bad extremes of the range??? ------------------------------ Date: Sat, 18 Oct 97 19:49:48 EST From: jeff.knudtson@corbel.com Subject: [CANSLIM] NO! Not another 75 EPS stock!!! In a message dated 97-10-17 11:51:09 EDT, you write: << it's a proprietary IBD/DG formula, not a simple linear model as you or i might concoct -- i've posted ian woodward's box system w/ more on this here a few times -- using it, these are called "box 7" plays -- jim horan and others routinely post box 7 lists on delphi, i have no idea why it remains such a mystery on this list despite its discussion every coupla months -- for some real details, visit woodward's forum at aol -- his approach is sometimes called "canslim on steroids" -- i hope this has helped >> Care to elaborate one more time on the above method for the new guys out here??? Thanks ------------------------------------------------------- Yes, please give specifics or refer to a URL for us new kids on the block. Thank you very much for any help. JEFF ------------------------------ Date: Sat, 18 Oct 1997 22:06:32 -0400 From: Michael A Langston Subject: re: [CANSLIM] NO! Not another 75 EPS stock!!! Ironheadmr@aol.com writes: >> i've posted ian woodward's box system > Care to elaborate one more time see below ironheadmr mike ****** The "Ian Box," a 2-way earnings box by Ian Woodward: Current Quarter EPS Growth: 100%+ 50-100% 25-50% 15-25% 5-Year EPS Growth: 50%+ #1 #2 #3 25-50% #4 #5 #6 15-25% #7 #8 #9 #10 Box 11 is all cash. Turnarounds (IBD EPS rank 75 and 76) are classified in box 7. Box 10 stocks are "turtles." Slower, but consistent growth, ------------------------------ Date: Sun, 19 Oct 1997 07:28:03 -0400 From: "Tom Worley" Subject: Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) Looks like this old timer should take some lessons from you, Kirby. I was too busy to pay attention, and ended up not selling anything. I think Monday will be a good day, barring any more major earnings surprises to the downside. You have the luxury of being in cash, main point I would make is to look at each stock, esp ones you just sold at higher prices, as if you are seeing it for the first time. Overall both NYSE and NASDAQ (including Russell 2000) appear sharply oversold, so a fast reversal is possible. We have already corrected more than I was anticipating. Any statements or opinions are strictly my own and not that of my employer. My comments should not be interpreted as a recommendation of any kind. I am a licensed (inactive) broker and an active investor. All investors should do their own research prior to any investment, especially one learned about on the Internet. Hopefully my comments will better inform and educate all investors. tom w - ---------- > From: Kirby Benson > To: canslim@mail.xmission.com > Subject: Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) > Date: Saturday, October 18, 1997 2:21 PM > > Tom and all, > > I don't know if there is any place in CANSLIM for "intuition" but I started > to sell off all my holdings during the previous week and was completely out > in cash by 3 PM eastern the 15th (SOCR was the last to go at 12 1/8). Now, > the question: what are the indicators to look for during this "correction" > as far as getting back in is concerned? Any comments will be appreciated, I > thought other newbies such as myself would be interested in any ideas from > the old timers. > > Thanks > > Kirby Benson > kbenson@zianet.com > > -----Original Message----- > From: Tom Worley > To: canslim@mail.xmission.com > Date: Friday, October 17, 1997 5:39 PM > Subject: Re: [CANSLIM] Been Pickpocketed today? need money for bus fare :-) > > > >Hemant, while my other personality (which naturally has perfect > >20:20 hindsight) is kicking me for not locking in some profits and > >then anticipating this nasty selloff so I could buy back cheaper > ------------------------------ Date: Sun, 19 Oct 1997 08:13:10 -0400 From: "Tom Worley" Subject: [CANSLIM] Fw: Weekly Economic Update I've mentioned this site before, it's availability is one reason I feel less compelled to report as much on the economy. For those interested in economics and trying to anticipate the Fed's actions, I recommend it. It's free, and only one more email a week. Here's this week's report, to which I have responded that there were some reports this week indicating weakness, specifically the CPI and the regional Fed reports from Atlanta and Philadelphia. However, I do agree that a rate hike is near, and quite likely at the Nov FOMC meeting. Any statements or opinions are strictly my own and not that of my employer. My comments should not be interpreted as a recommendation of any kind. I am a licensed (inactive) broker and an active investor. All investors should do their own research prior to any investment, especially one learned about on the Internet. Hopefully my comments will better inform and educate all investors. tom w - ---------- > From: timely-invest@mail-list.com > To: timely-invest@mail-list.com > Subject: Weekly Economic Update > Date: Saturday, October 18, 1997 2:14 PM > > WELCOME - Vol. 2 No. 58 > > TIMELY INVESTMENT INFORMATION - Weekly Economic Update > ====================================================== > > For new and old subscribers, there is an Archive Section > > Archive > > for your convenience. It lists the original copy of each > of our research reports, updates to those reports and > articles that we have published. > > ========================================================= > > Please support this week's sponsors, as they support us. > > > DLJdirect Online Brokerage > ========================== > > Trade Up to DLJdirect > Online Brokerage: > > A Donaldson, Lufkin & Jenrette Company (Member NASD, SIPC). > Access DLJ Research, IPOs, StockCenter, FundCenter, Company Digest > more -- from just $20 a trade! > > NEW: Download DLJdirect for Windows Free Online Investing > Software! > > Open a new account online & trade or deposit $500 by October 31, 1997 > & receive Ted Allrich's new book: > > The On-Line Investor - with our compliments. > > > Investor's Business Daily > ========================= > > FREE TWO WEEK TRIAL to America's Fastest Growing Newspaper > and the FREE VIDEOTAPE "The Real Secrets of Making Money". > Just click on the link below: > > IBD > > and fill out the simple form. Or, alternatively, > > Bob Bose > > with IBD TRIAL in the SUBJECT line, and your complete > normal (i.e. snail ) mailing address in the message body. > > For US addresses only. > > ========================================================== > > This is a text only copy that should be fairly > well formatted for most e-mail programs. For those > of you that would prefer an easier to read format, > simply click on the following link to the newsletter > on our Website, and if you want, print a copy. > > Update > > *********************************************************** > > WEEKLY UPDATE FOR: October 18, 1997 > > Prior Week In Review: > > Financial Market Highlights: > ============================ > > > 10/17/97 10/10/97 %Change > > S&P 500 944.17 966.98 -2.36% > Dow Jones 7,847.03 8,045.21 -2.46% > NASD Comp 1,666.85 1,739.03 -4.15% > Russell 2000 449.29 465.02 -3.38% > SOX Index 347.47 389.81 -10.86% > Value Line 464.03 474.56 -2.22% > MS Growth 408.13 414.04 -1.43% > MS Cyclical 525.93 532.47 -1.23% > T - Bill 4.89% 4.99% -10 BP > Long Bond 6.43% 6.42% +1 BP > > > Economic News: > ============== > > All Major Economic Reports Last Week Were Above Expectations > And They Were Strong - Risk of A Tightening Increases > > *Richmond FED Index Rises Sharply - Shipments, New Orders, > Backlogs - But Labor Components Weaken > *Atlanta FED Index Drops to 9.0 from 15.8 - But New Orders > and Backlog Component Rise Sharply > *Retail Sales for September Rise +.3% - See Below > *Business Inventories in August Rose +.2% - Sales Slip -.5% > *Consumer Price Index for September Rose +.2% - Same Increase > For Core Rate (ex Food and Energy) - +.2% > *Jobless Claims Rose 2,000 to 306,000 - Four Week Moving > Average Drops to 306,250 - Lowest since August 9 - Also > Five Consecutive Weeks Below 310,000 - Strongest Streak > Since 1988 > *Philadelphia FED Index Drops to 11.2 in October from > 20.4 in September > *Housing Starts for September Rose +7.9% - Permits Rose +3.4% > Prior Months' Data Revised Upward - See Below > *Industrial Production Up +.7% in September > *Capacity Utilization Rose to 84.4% - Highest Since Feb '95 > *Univ. of Michigan Preliminary Consumer Sentiment Index for > October Fell to 105.2 from Final September level of 106.0 > > > The important economic reports last week were strong, and > above consensus expectations. In addition, some of the > revisions to prior months' data were upward. And, while > there were some seasonal problems with some of the data, > it is clear that the economy is growing at a rate that > exceeds the Federal Reserve Board's (FED) target for > non-inflationary growth. So, the risks of an interest > rate increase at the November meeting have increased. > > Clearly currently reported inflation has remained well > behaved as the Consumer Price Index failed to confirm the > sharp increase of the previously reported Producer Price > Index. But, as we have noted many times, the FED's job is > forward looking, and economic growth remains strong. > > The consensus expectation for Retail Sales was for no > change, and while a +.3% increase doesn't appear too > strong, it should be remembered that September was an > unusually warm month across much of the nation, so sales > of Fall merchandise were likely deferred, as we discussed > last week. In other words, trendline growth in retail > sales is probably greater than the +.3% reported for > September. And, if so, final demand remains strong. > > Housing Starts and Permits for September were also > strong - in fact very strong. In our Weekly Economic > Update for September 20, 1997, which reported the August > Housing Starts data, we had noted how volatile this series > is and that it is often revised sharply. Well, guess what? > > Housing Starts for August were revised to an annualized > rate of 1.39 million from 1.36 million, and just as > importantly July starts were revised to an annual rate > of 1.47 million from 1.43 million. So, the most recent > 1.50 million rate, even given the potential for revision, > implies no slowing in the housing sector, and even a > modest acceleration. And because mortgage rates have > remained low, it is unlikely to slow anytime soon. > > Also at the end of the week, the Industrial Production > data implied above trend growth. Granted that a part of > the increase was because of unusually warm weather, and > therefore above normal seasonal demands for electricity to > run air conditioners, it was still a strong gain. And, > the capacity utilization rate inched higher to 84.4%, the > highest rate since early 1995 - as noted above. > > Some economists still consider the 85% level as a "flash > point" for the buildup of inflationary pressures, even > though the Kansas City FED published a study implying it was > much lower. In any case, the data reinforce Chairman > Greenspan's remarks that the laws of supply and demand have > not been repealed. With capacity utilization increasing, > the pressure will remain on the labor markets. > > And, the labor markets are tight. For the fifth week in a > row jobless claims were less than 310,000, and the less > volatile four week moving average is now at almost a decade > low. The Philips Curve advocates (those that believe there > is a trade-off between unemployment and inflation) at the > FED will be very nervous given this data, even though wages > have yet to accelerate. > > But, as yet the FED has no cover for a rate hike. They may > want to raise rates, but they need an "inflationary" > justification, in my opinion, which they simply don't have. > The press and the politicians simply don't like, or perhaps > understand, the need for pre-emptive action. So, the > November Labor Department Report, as we have said for quite > some time, will be a very important report. > > Next week's data is sparse, to put it mildly, but the > last week of the month is more interesting as the > Employment Cost Index will be released. If that index moves > up, and is confirmed by a sharp increase in average hourly > earnings, then in my opinion a rate hike at the November 12th > meeting is likely. If the data remain well behaved, the FED > still won't have the political cover, and will likely maintain > the status quo. In any case, we still believe a rate increase > before year end is better than a 50/50 bet. > > Stay tuned ! As we said, it'll be an interesting Fall. > > > > Current Weekly Calendar of Economic Data: > ========================================= > > Monday: > Tuesday: International Trade > Wednesday: > Thursday: Jobless Claims > Friday: > > > Fresh Money Buys: > ================= > > In response to subscriber feedback, we have established this > section to highlight recommendations from our list that we > believe are the most attractively priced currently. We will > limit the selections to three each week, even as our list of > recommendations grows. > > First Data (FDC) - $37.125 > Helen-of-Troy (HELE) - $17.250 > Idex Corp. (IEX) - $34.500 > > > Full reports, and updates, are available on our Website at: > > Website > > We now have a StockWatch page at go2net from which you can > obtain updated information for any of our stocks, including > the Fresh Money Buys. Just click on the link below: > > StockWatch > > We will not track the performance of this list, as we are > already monitoring the original recommendations. Hope this helps. > > **************************************************************** > > Editor's Notes: > =============== > > Today we posted updates for both Gillette's and McDonald's > third quarter earnings to the Archive Section. > > Gillette > McDonalds > > As always, we appreciate it when you recommend our Website, > our newsletter, and the Investor's Business Daily FREE Trial > Offer to your friends and associates. Now, we have made it > even easier for you to do so. > > Please click here to recommend: > > > Website > > Newslett er > > > Free Trial-IBD > > If you click on the link, there is a simple little form for you > to fill in your friend's email address and yours as well, so > your friend knows that the email is not spam. Also, there is a > message box for you to add any comments you like before sending > the emailed message. > > Your friend then receives your message, as well as a brief > explanation from us. It's all kind of neat, and we hope you will > use it to refer our site to your friends. So, don't be bashful ! > > We appreciate your support as we try to make Active Investment > Research a valuable resource for your investment program. > > **************************************************************** > > As we continue to build both our Newsletter and our > Website, we welcome your feedback, so please feel > free to e-mail me at bobbose@stockresearch.com > > To UNSUBSCRIBE, just send an e-mail to: > timely-invest-off@mail-list.com > Be sure to use the e-mail address from which you > originally subscribed. > > To SUBSCRIBE, just send an e-mail to: > timely-invest-on@mail-list.com > > Disclaimer: The foregoing has been prepared solely > for informational purposes and is not a solicitation, > or an offer to buy or sell any security. It does > not purport to be a complete description of the > securities, markets, or developments referred to in > the material. All expressions of opinion are subject > to change without notice. 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Corp.,139 Bank Street, Burlington, VT 05401 > FREE Investment Newsletter: http://www.stockresearch.com > FREE Trial IBD: http://www.stockresearch.com/ibdform.html > 800 - 385 - 2673 / 802 - 658 - 7806 > ==================================================================== == > > > - -------------------------------------------------------------------- - ---------- > To unsubscribe, please send a blank message to timely-invest-off@mail-list.com ------------------------------ Date: Sun, 19 Oct 1997 08:40:02 -0400 From: "Charles F. Corbit III" Subject: [CANSLIM] Call/ Put Ratio Does anyone know what the Call/Put ratio consists of ? Is it a volume ratio or is it open interest ? Thanks, Charlie ------------------------------ Date: Sun, 19 Oct 1997 08:59:17 -0400 (EDT) From: Deepak Kapur Subject: [CANSLIM] selling stocks Here is a request to the experienced CANSLIMers and others. Thanks to Peter Christiansen, Craig, Tom and others, I am at least getting soem idea from the charts about basing, cups and handles, and breakouts. The messages about specific stocks have been helpful in understanding these concepts. What is unclear to me is when to sell a stock. Yes, I have followed the discussion about trailing stops (8 vs 10 vs 15 vs 20), taking some of the profits when a stock is up 20%, taking half chips off when the stock doubles, as well as what WON has to say about selling. But clearly many on this list have their own variations on these rules. Let me be specific. Tom for instance did not sell MSON, ACTC, and SOCR. Let us take the case of SOCR. It went all the down to 8 1/2 (or 8 3/4) on Friday but bounced back on heavy volume, A question to Tom: When would you have tried to get out on Friday? Not at all because of the market conditions? At what price? What does the chart say now? There were also messages to the effect that many breakouts are failing. If a breakout fails, do you get out? An example might be KEA. It broke around 33, went all the way up to 39 or so. The breakout appears to have failed as in the last two days, it went down to 32 or less from 38. Did Peter sell? Does one sell in such cases? Sometime ago, A request: Just like folks are kind enough to identify breakouts and inform about them with a disclaimer whether they are in or they are going to buy at the opening, would they also be willing to tell when the time has come to sell those specific stocks they had mentioned earlier on for whatever reasons? I am a slow learner. Thanks a bunch and regards, Deepak ------------------------------ Date: Sun, 19 Oct 1997 10:30:00 -0400 From: "Tom Worley" Subject: Re: [CANSLIM] selling stocks Deepak, knowing when to sell, and then carrying out the right decision, are all too often separate actions. I must admit I am as guilty as any at not selling correctly unless I have gotten a double or better (then, the decision is easy, sell half and get your money back, sell all for a nice profit, or hold half risk free if you're not sure the ride has ended). In the case of SOCR, I definitely should have sold, current price alone proves that. I like the stock for longer term, I have a target of 20 or better, and was willing to give it some extra room to roam in light of mkt conditions, but unfortunately was not able to anticipate the gap down on Thursday. After that I just gritted my teeth and said to ____ with it, I was holding on at least till earnings are out later this month. I also still hold MSON, which held up well thru Thursday and part of Friday, before falling apart mid-day (I blame being too busy with my job to catch the initial collapse, and act - plus which I am determined to hang on to it thru the 3:2 split on Monday). I never got my entry point on ACTC, but based partially on the posts from Bob Davis about the nr of shares issued, did manage to get most of my brokers out at a profit. In turn, I have been very surprised at its strength and recovery from recent lows, can't account for it. I remain convinced, despite the sharp downturn in the Russell 2000 over the past two trading days, that small caps will hold up better, and recover faster. For those wise enough to go to cash, I am envious, as you can do some nice bargain shopping now. I have never been one to blindly apply stop losses, maybe because I am so connected to the industry and real time quotes, maybe just because I am a control freak and don't like giving up the decision making. Either way, the past week was a good time to have employed stop losses, 8% from your entry point, 15% once you were up at least that much. Any statements or opinions are strictly my own and not that of my employer. My comments should not be interpreted as a recommendation of any kind. I am a licensed (inactive) broker and an active investor. All investors should do their own research prior to any investment, especially one learned about on the Internet. Hopefully my comments will better inform and educate all investors. tom w - ---------- > From: Deepak Kapur > To: canslim@xmission.com > Subject: [CANSLIM] selling stocks > Date: Sunday, October 19, 1997 8:59 AM > > > Here is a request to the experienced CANSLIMers and others. > > Thanks to Peter Christiansen, Craig, Tom and others, I am at least > getting soem idea from the charts about basing, cups and handles, > and breakouts. The messages about specific stocks have been helpful > in understanding these concepts. > > What is unclear to me is when to sell a stock. Yes, I have > followed the discussion about trailing stops (8 vs 10 vs 15 vs > 20), taking some of the profits when a stock is up 20%, taking > half chips off when the stock doubles, as well as what WON has to > say about selling. But clearly many on this list have their own > variations on these rules. > > Let me be specific. Tom for instance did not sell MSON, ACTC, > and SOCR. Let us take the case of SOCR. It went all the down to > 8 1/2 (or 8 3/4) on Friday but bounced back on heavy volume, > A question to Tom: When would you have tried to get out on Friday? > Not at all because of the market conditions? At what price? What > does the chart say now? > > There were also messages to the effect that many breakouts > are failing. If a breakout fails, do you get out? An example > might be KEA. It broke around 33, went all the way up to 39 or so. > The breakout appears to have failed as in the last two days, > it went down to 32 or less from 38. Did Peter sell? > Does one sell in such cases? Sometime ago, > > A request: Just like folks are kind enough to identify breakouts > and inform about them with a disclaimer whether they are in or > they are going to buy at the opening, would they also be willing > to tell when the time has come to sell those specific stocks they > had mentioned earlier on for whatever reasons? > > I am a slow learner. > > Thanks a bunch and regards, > > Deepak ------------------------------ End of canslim Digest V1 #321 ***************************** To subscribe to canslim Digest, send the command: subscribe canslim-digest in the body of a message to "majordomo@xmission.com". 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