Steve Zito, MS Fin/BS Econ Wharton School, HTML Writers Guild
uses economic and technical analysis to forecast the direction of the stock market. The views in this newsletter are opinions only, and should not be solely relied upon for investment decisions.
Nasdaq April 9 -Trading Tips -Sitemap -Stock Picks -EMAIL ME

NASDAQ COMPOSITE
INDEX closed 1756.19

Nasdaq waits on Intel April 15, 2002

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April 15 Go To Page 1. Intel closed at 28.39 below its 90-day moving average resistance 29.20. RSI, MACD negative, stochastics falling to bearish 19%/30%. Support had been 28.40. Intel closed at 28.40 twice last week, still holding that level PENDING Quarterly EARNINGS TO BE RELEASED AFTER THE CLOSE APRIL 16. Expect $0.15 a share.

Microsoft closed at 55.93 below 90-day moving ave. resistance 56.25. RSI, MACD negative, stochastics turned higher to neutral 50%/45%. Bill Gates sold holdings at higher price levels from 70 to 72 last year. Smart mutual fund managers have been investing your money at 70. Who knows more about Microsoft, Gates or 25-year old MBA's?

Cisco closed at 15.30 below 90-day moving average resistance 15.55. RSI, MACD negative, neutral-bearish stochastics rising 32%/24%. Cisco CEO John Chambers lacks credibility, with Cisco holding $16 billion. This indicates Chambers unable to locate project investment returns higher than short-term money market yields on $16 billion. How hard could it be to find investment projects yielding over 4%?

Oracle closed at 11.51 below 90-day moving average resistance 11.70. RSI, MACD negative, oversold stochastics rebounding to 40%/28%. Company management has reputation for overly optimistic guidance. That began just over one year ago when Oracle was trading over 21. Oracle this past week just made a 3-month low under 11 after trading at 17 in February on the same management HYPE. Is D-baseSW dead?
Worldcom closed 5.01 below 90-day moving average resistance 5.50. RSI, MACD negative, stochastics rising from extremely over-sold to 28%/22%. Stock may be undervalued. If only mutual fund managers looked for laggards! They no longer do. Mutual fund managers are rated on short-term performance compared to peers. Like a quickie.
Dell closed at 26.12 below 90-day moving average resistance at 26.42. RSI, MACD neutral, stochastics plummeting to 22%/38%. Stock has done nothing for a year, but 2 years ago CNBC touts pushed it to 50. Business is better now than two years ago, so why did Wall Street analysts advise the unwitting public to buy Dell Computer over 50? Ask CNBC favorite, incredibly wrong Lehman Brothers Dan Niles. Niles was the foremost bull on Dell at 53, also had Intel target of 88.
Sun closed at 7.97 below 90-day moving average resistance at 8.22. RSI, MACD negative, stochastics rising from over-sold at 25%/22%. Has been a buy every time it trades at 8. Has multi-$billion lawsuit vs MSFT. Like Worldcom, traded ten times higher on bad CNBC hype.

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