From: owner-canslim-digest@lists.xmission.com (canslim-digest) To: canslim-digest@lists.xmission.com Subject: canslim-digest V2 #629 Reply-To: canslim Sender: owner-canslim-digest@lists.xmission.com Errors-To: owner-canslim-digest@lists.xmission.com Precedence: bulk Content-Transfer-Encoding: quoted-printable X-No-Archive: yes canslim-digest Thursday, June 17 1999 Volume 02 : Number 629 In this issue: [CANSLIM] CPI [CANSLIM] Economics [CANSLIM] Interesting Chart [CANSLIM] bntt [Connie Mack] [CANSLIM] AMD [Connie Mack] [CANSLIM] RE: BNTT {Connie Mack] [CANSLIM] Bulls Bears Lambs and Herds - Jeffry Re: [CANSLIM] Interesting Chart [CANSLIM] Bollinger Bands [CANSLIM] fnco [CANSLIM] sfp Re: [CANSLIM] sfp [CANSLIM] Fw: F R E E S T O C K [CANSLIM] Putting some money to work and strong groups ---------------------------------------------------------------------- Date: Wed, 16 Jun 1999 09:24:22 -0400 From: "Tom Worley" Subject: [CANSLIM] CPI Forget my last request, finally found it at cnnfn.com. Here's the release, tame isn't the word, I stand on my expectation of no rate hike late this month. CPI unchanged in May Core rate grows modest 0.1%; figures lower than expected June 16, 1999: 8:46 a.m. ET NEW YORK (CNNfn) - Consumer prices were unchanged in May, below expectations and much lower than the soaring rate recorded a month earlier, the Labor Department reported Wednesday. The consensus of analysts surveyed by Reuters had forecast an increase of 0.2 percent in the May index. The "core" rate, which excludes volatile food and energy prices, was up 0.1 percent, below the consensus estimate of 0.2 percent by economists surveyed by the Reuters news agency. In April, the consumer price index -- a key measure of inflationary forces reflecting the monthly change in price of a broad range of consumer goods -- jumped 0.7 percent and the core rate grew 0.4 percent. That data put markets on edge that the Federal Reserve may move to raise interest rates to cool off the economy. In a separate report Wednesday, housing starts grew to an annual rate of 1.68 million in May, compared with analysts' estimates of 1.63 million. Just after the data were released, the inflation-leery bond market immediately rallied. The price of the benchmark 30-year U.S. Treasury was up 25/32, pushing down the yield to 6.047 percent. Before the 8:30 ET report, the price of the bond was up 15/32 for a yield of 6.072 percent. S&P futures contracts also surged about 15 points on the news, suggesting a much higher opening on Wall Street later in the morning. stories Funds see Fed fine-tuning - June 15, 1999 sites Department of Labor Tom Worley stkguru@netside.net chat with me at ICQ # 5568838 get ICQ software at http://www.icq.com/icqhomepage.html - - ------------------------------ Date: Wed, 16 Jun 1999 09:51:59 -0400 From: "Tom Worley" Subject: [CANSLIM] Economics Housing starts, industrial production also tame. Interesting, the chatter has suddenly shifted from whether the Feds would hike at their meeting later this month to a belief that there will only be one hike. Apparently the silent fear was for multiple hikes. I still think the Feds will take a pass on this month's meeting. But we may get a better clue as Mr. G is speaking tomorrow. Stand by for more volatility. Tom Worley stkguru@netside.net chat with me at ICQ # 5568838 get ICQ software at http://www.icq.com/icqhomepage.html - - ------------------------------ Date: Wed, 16 Jun 1999 10:15:52 -0500 From: Dave Squires Subject: [CANSLIM] Interesting Chart Hi All, Decision Point has a chart of the early 90's Biotech bubble verse the Internet bubble. It is worth a look. http://decisionpoint.com/ChartSpotliteFiles/ChartSpot05.html DSquires - - ------------------------------ Date: Wed, 16 Jun 1999 13:12:40 -0400 From: Connie Mack Rea Subject: [CANSLIM] bntt [Connie Mack] I posted a few days ago about AMD [perhaps it was to Tom] that I had been nibbling on AMD for some time and had finally accumulated a quite large holding. AMD, among the 12 or so semi's that I follow, was, one day last week, the only one of the 12 that didn't move. Ah, but yesterday. I bought a new 150 Suzuki outboard for my bass boat. It took a while for AMD to move. I emptied the whole position yesterday but have taken another small position at about the price I left at yesterday. You might take a look at AMD for its prospects longer term. When I have time, I'll say a little more about how you might approach AMD. As a kind of real time examination of a stock, you might like to take a look at BNTT, another stock I posted about last week. It had both MF/OBV positive divergence. Today, the 3/7/10 EMA will go buy with a bit of an up close. A trendline across the top and bottom implies that there is something about to happen as price approaches the apex. Also put a support line at 8.75, just where BNTT now sits. That line will fit a low in March, May, and recently. Hence, the line acquires significance as support. Pull up a 5-day chart; notice that there is congestion at 8.75. Notice that big spurt of volume early this morning. Now look at MF/OBV on a 2-day chart. Both are positively divergent. Look at MACD. The bars below the line are shortening and may be prelude to a buy. A crossing below the trigger line, if you're right, gives more profit than a crossing above. The crossing above is safer, but will deliver less profit. The 3/7/10 EMA is about to go buy. The SloSto is all over the place; I choose to ignore it. The last price, at 12:48, is 12.87. The spread is 1/16. I will put in two buys: one at 3/4 and another 7/8. This buy will be relatively low risk. The indicators are positive. The 52-week low is 7.87. There is a slightly modified triple bottom. A trader/investor must trust his indicators. From here on it's 90 percent mechanical and 10 per cent arbitrary. Connie Mack - - ------------------------------ Date: Wed, 16 Jun 1999 14:53:13 -0400 From: Connie Mack Rea Subject: [CANSLIM] AMD [Connie Mack] I have had a break even round trip in AMD today. Take a look at a 2-day 15-minute chart with MACD active. Notice how well the MACD has revealed an entry/exit strategy. I had hoped to trade for a 1/4 to 1/2 point this morning, but could do no better than break even. The MACD took me out yesterday. The brief turn up this morning implied that there might be a bit more juice left. Not so. When there was no up crossing, the MACD said to get out. And a good signal it was. The 3/7/10 EMA gave a First and Second Level Buy yesterday, so I'd still be interested in getting back in between 17.7 and 18 today. Connie Mack - - ------------------------------ Date: Wed, 16 Jun 1999 15:04:35 -0400 From: Connie Mack Rea Subject: [CANSLIM] RE: BNTT {Connie Mack] I have just been filled with BNTT at 8.75. I had an earlier fill at 8.81. Unless something untoward happens, I will look at my position again around 9.25. I will be willing to carry my positions overnight and maybe a few days thereafter. I infer this to be a low risk position. Connie Mack - - ------------------------------ Date: Wed, 16 Jun 1999 14:58:07 -0400 From: Walter Stock Subject: [CANSLIM] Bulls Bears Lambs and Herds - Jeffry >>I always trust market sentiment as a contrary indicator. >> Always have. My issue is usually whether the numbers >> most people look at have a substantial lag or not. >I do remember the lag being your primary concern, come to think of it. >But, didn't the discussion deteriorate from there? ;) >How about giving a call to some of the sentiment folks and asking about >the currency of their data? IBD should have an answer as far as the >Investment Advisor data. Hi Jeffry, I did happen to investigate this last year, and as I recall, the Investment Advisor numbers (as published in IBD) reflect the bullishness or bearishness of writers and commentators in subscription newsletters. Given the fact that many of the folks who publish and send out these newsletters still use old-fashioned snail mail as distribution, I am still left wondering about built-in lags. Speaking of old-fashioned, Barron's lists several other sentiment indexes every weekend. If you can stomach the rest of Barron's, and put up with a lot of with rubbish like their "Amazon.bomb" article, then these numbers are worth a look. (No, I am not and was not an AMZN shareholder.) Jeffry, if your lambs can constitute a herd, then you will wake up one morning to see them reading Barron's "en masse". Barron's will also help ensure that the lambies (and other readers) come to the same fate as most other herds. So much of it is a monument to Wall Street crowd-think. Put some capital to work early this morning with the kinder, gentler CPI number. Bought some INTC for a quick non-canslim trip. Also got a rare opportunity to buy some pre-IPO shares of TD Waterhouse (world's 2nd largest discount brokerage). It is slated to go public next week with a proposed ticker of TWE on the NYSE. This is also very non-canslim and heretical. Glad to see you active on the list again. Walter - - ------------------------------ Date: Wed, 16 Jun 1999 17:12:35 -0400 From: "Tom Worley" Subject: Re: [CANSLIM] Interesting Chart Thanks Dave, it is interesting. Good example of how hype, speculation and excessive expectation can drive an entire group way past fundamentals and reality. So far looks like the internuts are undercutting their chart even more severely than did the biotechs. If the pattern holds true for the future, looks like it will be several years before the net stocks will be suitable for anyone but the short term, high risk trader. But with the radical changes going on in the sector, not sure that will hold true. But if so, the survivors at least should have well established growth and earnings history by then. Tom Worley stkguru@netside.net chat with me at ICQ # 5568838 get ICQ software at http://www.icq.com/icqhomepage.html - -----Original Message----- From: Dave Squires To: canslim@lists.xmission.com Date: Wednesday, June 16, 1999 11:18 AM Subject: [CANSLIM] Interesting Chart Hi All, Decision Point has a chart of the early 90's Biotech bubble verse the Internet bubble. It is worth a look. http://decisionpoint.com/ChartSpotliteFiles/ChartSpot05.html DSquires - - - - ------------------------------ Date: Wed, 16 Jun 1999 18:22:58 -0600 From: Ben Heffer Subject: [CANSLIM] Bollinger Bands As I have been watching the Bollinger bands, what I'm seeing is that when there is a sparp constriction, that is pointy on top and bottom of the bands, the next day or two shows a rather large breakout. Does anyone in the group know how to predict that pointy constriction before the breakout? Sometimes the pointy constriction happens intraday. Thanks. Ben Heffer 963-2428 home 945-9183 work Cyber Consultants-Training, Installations, Home Page Design mailto:bheffer@sopris.net ICQ# is 8736058 - - ------------------------------ Date: Thu, 17 Jun 1999 13:15:16 +0300 From: "David S. Pinhasik" Subject: [CANSLIM] fnco Someone mentioned this, and I really like it. Could the chart be considered a cup w/ handle? Any comments? David A clean desk is a sign of a cluttered desk drawer. ============================================ David S. Pinhasik Tadiran Information Systems @ Chaim Sheba Medical Center - Tel Hashomer, Israel +972 3 530 2973 (new) +972 3 534 5748 fax +1 707 885 7831 US efax dsap@shani.net ============================================ - - ------------------------------ Date: Thu, 17 Jun 1999 13:18:04 +0300 From: "David S. Pinhasik" Subject: [CANSLIM] sfp Another one mentioned that I really like. Seems like a healthy base. Any comments? (Another plus - it's close to my home "town" of Chicago :) ) David Rome did not create a great empire by having meetings; they did it by killing all those who opposed them. ============================================ David S. Pinhasik Tadiran Information Systems @ Chaim Sheba Medical Center - Tel Hashomer, Israel +972 3 530 2973 (new) +972 3 534 5748 fax +1 707 885 7831 US efax dsap@shani.net ============================================ - - ------------------------------ Date: Thu, 17 Jun 1999 05:22:07 -0700 From: "Earl Setser" Subject: Re: [CANSLIM] sfp I had this one on my "watch list", but the present base is only about 4 weeks. I am using a 6 week minimum right now, so my plan was to keep an eye on this one and see what happens over the next few weeks. WON stated that a 6-8 week base should be the minimum, and I've missed to few with shorter bases. FNCO on the other hand just emerged from a base about a week ago and has fallen back towards the pivot. I'm still not sure how to spot the difference between a failing B/O and one that is pausing after the CANSLIMers and other technical trades push it up on the first day or two of the B/O. It is good to note that the down days are pretty low on volume. Yeah, I like this one also. Good luck. 6/17/99 +0300, you wrote: >Another one mentioned that I really like. Seems like a healthy base. Any >comments? (Another plus - it's close to my home "town" of Chicago :) ) >David > > > >Rome did not create a great empire by having meetings; they did it by >killing >all those who opposed them. >============================================ >David S. Pinhasik >Tadiran Information Systems >@ Chaim Sheba Medical Center - Tel Hashomer, Israel >+972 3 530 2973 (new) >+972 3 534 5748 fax >+1 707 885 7831 US efax >dsap@shani.net >============================================ > > > > >- > - - ------------------------------ Date: Thu, 17 Jun 1999 07:19:36 -0400 From: "Tom Worley" Subject: [CANSLIM] Fw: F R E E S T O C K Here's another of those "Amazon wannebe" private companies hoping someday to go public. Offer is a little different than most. Shares are still available as I just registered this morning for my initial five shares without a problem. Please remember to include my email address on the reference line if you register. Tom Worley stkguru@netside.net chat with me at ICQ # 5568838 get ICQ software at http://www.icq.com/icqhomepage.html Go to this site for free stock. This company is trying to advertise itself by distributing free stock. Jump in quick. The free stock is currently valued at $5 per share. Here is the information that you need: A company called PopularLink.com is going public. To enhance its visibility, it is giving away shares of stock for free. CONTACT http://www.popularlink.com Registering for free shares is really easy, just go to the site and enter one of the mirror sites and click on the "become a co-owner" option. You get 5 shares for registering, and 1 extra share for each person you recommend it to who signs up (up to a total of 20). Its free and they don't ask for any personal information. The last company to try this route is now listed on the NASDAQ (Amazon). Yahoo! did this as well. - -- ____________________________________________________________ ___________ T i m B a l u n i s , B u f f a l o , N e w Y o r k , U S A balunis@buffnet.net - - ------------------------------ Date: Thu, 17 Jun 1999 18:04:54 +0200 From: Johan Van Houtven Subject: [CANSLIM] Putting some money to work and strong groups Walter, At 02:58 PM 16/06/99 -0400, you wrote: >Put some capital to work early this morning with the >kinder, gentler CPI number. Bought some INTC for >a quick non-canslim trip. Ah, someone else who could not hold himself from putting in a trade. NASD closing in on important resistance: 2530 (intersection of DTL and horizontal left shoulder resistance line). I went to 15% invested yesterday. To soon per strict CANSLIM. Just willing to place this bet, because of what I see in some groups. Bought 2 stocks with good enough CS numbers. Bought QCOM and RATL yesterday. Telecom Equip looks strongs. My surrogate is: QCOM HLIT RIMM PLCM DMIC DSPG ADTN UNPH CMVT TLAB ADCT NT LU ERICY Comp-enterprise looks good. So willing to place a bet (RATL) in this area to. Surrogate (with to many stocks currently, need to weed it out more) UNFY PLAT CLFY SEAC PSDI PERI GEOC RATL ADBE ITWO EFII SEBL BOBJ OSHSF VRTS OCAD MERQ ORCL CTXS BEAS NATI WANG PVSW SAPE LGTO SNPS Watching CSCO and ASND in COMP-LAN group. - -- Johan Van Houtven - - ------------------------------ End of canslim-digest V2 #629 ***************************** 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.