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canslim Digest        Monday, October 27 1997        Volume 01 : Number 327



In this issue:

    Re: [CANSLIM] Now what?  A bird in the hand. . . .
    Re: [CANSLIM] Now what?  A bird in the hand. . . .
    [CANSLIM] historical data
    [CANSLIM] Cash
    Re: [CANSLIM] Now what?  A bird in the hand. . . .
    Re: [CANSLIM] Market & a few stocks...
    Re: [CANSLIM] Basic Question for strange market
    Re: [CANSLIM] Oil Product Prices (was Market & a few stocks...)
    [CANSLIM] 30 minute close on the Dow!!!!
    [CANSLIM] Glad I'm out
    Re: [CANSLIM] 30 minute close on the Dow!!!!
    [CANSLIM] Re: [Up-Up-and-A-Way]- Re:
    [CANSLIM] Greenspan
    Re: [CANSLIM] Market
    [CANSLIM] Dow CRASHES!!!
    [CANSLIM] Watch Out! (fwd)
    Re: [CANSLIM] 30 minute close on the Dow!!!!
    Re: [CANSLIM] Dow CRASHES!!!--HOWDY
    [CANSLIM] Globex Futures
    Re: [CANSLIM] Horray!! (was 30 minute close on the Dow!!!!)
    Re: [CANSLIM] Dow CRASHES!!!
    Re: [CANSLIM] Globex Futures
    [CANSLIM] Asia is down tonight
    Re: [CANSLIM] Greenspan
    Re: [CANSLIM] Now what?  A bird in the hand. . . .
    Re: [CANSLIM] Globex Futures

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: Mon, 27 Oct 1997 09:51:11 -0500
From: sam <[e-mail]>
Subject: Re: [CANSLIM] Now what?  A bird in the hand. . . .

>Believe that I noticed that one member was about to take some profit and
>begrudged the $200 [?] hit that his full-service broker would render.  I
>can make between 16 and 25 trades for $200--and so can you.  Anyone who
>trades his own account has no need for a full-service broker.

One reason I still have a full service broker is because of the lack of
trust in the market. I didn't want my stocks tied up in transfer which I am
finding out takes a super long time. I have been some what nervous of the
market for several weeks and didn't want to get caught in transit and take a
loss after achieving one of my first big gains. I have transfered my
retirement accounts to a online broker and it is takeing about a month for
the transfer so far and no money yet. I will call them today to find out
where the money is.

>Other members will give him the leads and insight necessary to trade and
>invest.  Too, the net is filled with free information.  My experience is
>that brokers, for the most part, have a vested interest in getting you
>in and out of stocks; that interest  ought to be so plain as to be
>transparent.
I never let my broker decide when to sell or buy, he uses to many company
picks which I have found to be hype to get a large investor out of their
position(or so it seems because after he "informs" me they go south.

>That brokers would wish to quiz me about day|short term trading is to
>infer that we need smarter brokers.
He asks me why every trade just to get some ideas. Thatsa ok too but he
needs to provide some good picks too.

>Irrespective of my position, I will not lose sleep on any trade gone bad
>or any trade that I missed.
Never lost a nights sleep because of the market.

>Protection of equity is absolutely essential; lose equity and you lose
>everything.
Agree 2000%

Sam>

------------------------------

Date: Mon, 27 Oct 1997 10:06:48 -0500 (EST)
From: [e-mail]
Subject: Re: [CANSLIM] Now what?  A bird in the hand. . . .

In a message dated 97-10-27 09:57:22 EST, you write:

<< One reason I still have a full service broker is because of the lack of
 trust in the market. I didn't want my stocks tied up in transfer which I am
 finding out takes a super long time. I have been some what nervous of the
 market for several weeks and didn't want to get caught in transit and take a
 loss after achieving one of my first big gains. I have transfered my
 retirement accounts to a online broker and it is takeing about a month for
 the transfer so far and no money yet. I will call them today to find out
 where the money is. >>

Consider doing what I did years ago.  As you sell, withdraw the proceeds,
deposit them in your checking account, and issue a new check to whatever
broker you're going with.  This way the transfer process takes a few days
rather than several weeks.  Granted you'll have two brokers for a while, but
the only trades you'll be making with the old one are sells, so it's no big
deal.

- ----Db

------------------------------

Date: Mon, 27 Oct 1997 10:32:07 -0800
From: "Christopher Reid" <[e-mail]>
Subject: [CANSLIM] historical data

I've been able to locate a couple companies historical data services

- -Media General Financial Services
- -offer both fundamentals and historical quotes
- -haven't email me back

T2 Electronics software
- -unlimited daily data downloads
- -access to 3 months of Daily files
- - access to 4 year Historical file
- -no fundamentals though :-(
- -all cdn and american markets, major indices and mutual funds
- -30$/month CDN

I want to be able to do all my graphing and analysis from a custom dynamic
database on my computer which will mean dialy updated stock info, do you
guys/gals know of any companies that offer such services?  I've asked this
before but I can't remember if anyone suggested any.  My friend works at
reuters at the data services devision and has access to all this from his
desk   (of course for free), lucky *%$$#@@

thanx in advance

Christopher

------------------------------

Date: Mon, 27 Oct 1997 10:53:07 -0500
From: sam <[e-mail]>
Subject: [CANSLIM] Cash

 100% Cash as of this morning.
\

Sam

------------------------------

Date: Mon, 27 Oct 1997 10:57:49 -0500
From: sam <[e-mail]>
Subject: Re: [CANSLIM] Now what?  A bird in the hand. . . .

Done, now that I am in cash.
Sam

At 10:06 AM 10/27/97 -0500, you wrote:
>In a message dated 97-10-27 09:57:22 EST, you write:
>
><< One reason I still have a full service broker is because of the lack of
> trust in the market. I didn't want my stocks tied up in transfer which I am
> finding out takes a super long time. I have been some what nervous of the
> market for several weeks and didn't want to get caught in transit and take a
> loss after achieving one of my first big gains. I have transfered my
> retirement accounts to a online broker and it is takeing about a month for
> the transfer so far and no money yet. I will call them today to find out
> where the money is. >>
>
>Consider doing what I did years ago.  As you sell, withdraw the proceeds,
>deposit them in your checking account, and issue a new check to whatever
>broker you're going with.  This way the transfer process takes a few days
>rather than several weeks.  Granted you'll have two brokers for a while, but
>the only trades you'll be making with the old one are sells, so it's no big
>deal.
>
>----Db
>
>

------------------------------

Date: Mon, 27 Oct 1997 12:40:46 -0500
From: Surindra Singh <[e-mail]>
Subject: Re: [CANSLIM] Market & a few stocks...

From Money Daily:

http://moneydaily.com.

Gas stays expensive


There's no relief in site at U.S. gas pumps. The
Journal reports that demand from the world's stronger
economies, including the U.S., Germany, France and the
United Kingdom, have kept crude-oil prices at nearly
$21 a barrel. That may not change for most of the
winter, says the U.S. Department of Energy.

sam wrote:

> I live 2 miles from several mass gas storage tanks and still pay 1.18 for
> Reg Unleaded.
> Sam
>
> At 04:41 PM 10/26/97 -1000, you wrote:
> >Patrick Wahl wrote:
> >>
> >> > From:          "Tom Worley" <[e-mail]>
> >>
> >> > up a little, but can anyone comment on whether energy costs (not
> >> > just gas but also home heating oil, etc) is rising or falling in
> >> > your part of the country or world?
> >>
> >> I just know from reading this post and the others in reply that I'm
> >> getting screwed on the price of gas out here in CA, $1.59 a gallon
> >> for unleaded plus.
> >
> >
> >Try $1.82 for unleaded regular (the cheapest).
> >Frank
> >Maui, Hawaii.
> >(Incidentally, Europeans would think this is dirt cheap!)
> >
> >

------------------------------

Date: Mon, 27 Oct 1997 12:12:18 -0500 (EST)
From: [e-mail]
Subject: Re: [CANSLIM] Basic Question for strange market

In a message dated 97-10-25 18:28:43 EDT, you write:

<< I have a basic CANSLIM question.  With the market taking two dives in a
 row, should one still follow the basic tenet of CANSLIM regarding stop loss
 sells?  Mine haven't been hit but say the market dives again on Monday,
 what do you do?  Should you allow yourself to be stopped out on what seems
 to obviously be a short term drop in the entire market or should you let
 your positions drop and wait for the rally?  I re-read O'neil's section on
 losses and he is adament about getting out even in a general market
 decline.  Is he still that way?

 Chuck
  >>

If you're convinced that this is a short-term drop and that a rally will
ensue, there's no reason for stops at all.  On the other hand, the market
could continue to decline and the rally be postponed for a good long while.

The point of WON's stop strategy is to remove the gambling aspect from
investing and replace it with a disciplined approach.  Instead of lowering or
removing your stops, you might be better off developing a buyback strategy.

- ----Db

------------------------------

Date: Mon, 27 Oct 1997 13:47:29 -0500 (EST)
From: [e-mail]
Subject: Re: [CANSLIM] Oil Product Prices (was Market & a few stocks...)

In response to Tom's request for information regarding gasoline prices:

Gasoline prices here in Connecticut run around $1.51 to $1.55 per gallon for
regular unleaded. This is after a three cent per gallon decrease in the state
gasoline tax. Prices in Fairfield County run somewhat higher.

In August (generally the time when prices are lowest) I  bought fuel oil for
heating. One thousand gallons at 89 cents per gallon. Last year it was $1.02
per gallon. In each case discounts for bulk purchase and cash payment were
applied.

Douglas Herman

------------------------------

Date: Mon, 27 Oct 1997 11:48:06 -0800
From: "Ken Davidson" <[e-mail]>
Subject: [CANSLIM] 30 minute close on the Dow!!!!

Just so you all know right up to the minute, the Dow was closed at 2:35 for
a half hour because it was down more then -350.00

Ken Davidson
www.agoraoutlook.com

------------------------------

Date: Mon, 27 Oct 1997 14:37:13 -0500
From: sam <[e-mail]>
Subject: [CANSLIM] Glad I'm out

Man am I glad I got out early this morning. Saved me several thousand
dollars today alone.

Also gas in Virginia Beach Va. gas prices stay around .99 to 1.05. That is
the cheapest I have seen around the country in my travels.

Sam

------------------------------

Date: Mon, 27 Oct 1997 14:58:31 -0500
From: sam <[e-mail]>
Subject: Re: [CANSLIM] 30 minute close on the Dow!!!!

I know some people are feeling sick right now.
Sam


At 11:48 AM 10/27/97 -0800, you wrote:
>Just so you all know right up to the minute, the Dow was closed at 2:35 for
>a half hour because it was down more then -350.00
>
>Ken Davidson
>www.agoraoutlook.com
>
>
>
>

------------------------------

Date: Mon, 27 Oct 1997 15:39:18 -0500
From: sam <[e-mail]>
Subject: [CANSLIM] Re: [Up-Up-and-A-Way]- Re:

I bet all those people on CNBC that said last week was a great buying
opertunity are just giddy with the current prices. I bet their the ones
holding the market steady....Ha...

Hope everyone fared well today..
SAm



At 03:25 PM 10/27/97 -0500, you wrote:
>Boy is than an understatement. At this writing down 525 and the little CNBC
>ticker just hasn't stopped rolling down.
>
>Tom
>At 02:52 PM 10/27/97 -0500, you wrote:
>>Group:
>>
>>Ouch!
>>
>>Bud
>>
>
>

------------------------------

Date: Mon, 27 Oct 1997 15:59:06 -0500
From: "Knowles, Richard N." <[e-mail]>
Subject: [CANSLIM] Greenspan

Heh!

I've come across a new market indicator.  Its called the Greenspan
indicator.

You simply mark down every time he is supposed to speak on a calendar
and sell everything you own the day before.  I see a 1:1 correlation
with market downs here.  The effect is remarkable and each occurrance
trails on for weeks afterwards.  Lets see, with FOMC meetings monthly,
congressional updates, ad-hoc speaking occasions, quotes to the press
and (god forbid) a guest spot on CNBC there aren't many stock shopping
days til Christmas.

How much economic damage would have been done if he hadn't fueled this
panicky environment?  Do you suppose todays action would have happened
without a spokesman for doomsday stirring things clanging the gong?
Sure saved us didn't it!

BTW, when everyone rushes for the door, a sell strategy does little
good. (Just venting, I was 50% in cash when my pants were jerked down
around my knees.  Luckily most are small caps.)

Rich

- - - - - - - - - - - - - - - - -
Rich Knowles
X5451

------------------------------

Date: Tue, 28 Oct 1997 03:59:36 GMT+7
From: Peter Christiansen <[e-mail]>
Subject: Re: [CANSLIM] Market

** Reply to note from Peter Christiansen <[e-mail]> Sun, 26 Oct 1997 20:42:59 GMT+7


> At any rate, the market looks a little sick to me.

DOW down 554 points.  The "M" in CANSLIM worked as it should for me.  Had I waited
for my individual stops to be hit, I would have given up over $10,000 in profits.  It will
be interesting to watch the Asian markets tomorrow.  It is 4:00 a.m. here in Chiang Mai; I
think I'll go to bed now... comfortably in cash.


Peter Christiansen
Chiang Mai, Thailand

Connected with OS/2 Warp 3.0 & The Post Road Mailer
_____________________________________________________________________________________

If you're not confused, you're not paying attention.

------------------------------

Date: Mon, 27 Oct 1997 13:12:38 -0800
From: "Ken Davidson" <[e-mail]>
Subject: [CANSLIM] Dow CRASHES!!!

Here we go!  Were now in a crash!  Isn't this fun!  At 2:35pm est. the
market was closed as the Dow hit trading limits being down -350.  When this
happened it closesd for a half hour.  At the time it was closed at
Dow -354.37, 7361.04.  S & P 500 -43.38 to 898.26.  After the market opened
the overall market continued down.  In less then a half hour the Dow hit its
second trading curb.  This comes into play when the Dow hits -550 points.
At that time the overall market is closed for one hour.  The Dow closed at
7161.15, -554.26.  S & P 500 -64.50 to 877.14.  This was the Dows worst
single point decline ever!!  Because we only had about a half hour left to
trade were now closed for the day.  Many stock and mutual fund people
mustn't be very happy today.  I'm feeling the same exhilaration as I did in
the 1987 crash except today I'm in options instead of stocks.  Tomorrow the
market should rally if were fulfilling a true "crash" scenario.  Today there
didn't appear to be any real panic selling.  Were feeling comfortable here
right now but that is the benefit of trading indexes using credit spreads.
The good thing about crashes is that they are swift in there actions.  The
question is: will we will stay down and have a bear market or will we
correct and then head higher once again.

Ken Davidson
www.agoraoutlook.com

------------------------------

Date: Mon, 27 Oct 1997 16:24:03 -0500 (EST)
From: Zoran Mitrovski <[e-mail]>
Subject: [CANSLIM] Watch Out! (fwd)

Hey, folks, remember this "joke" posted on June 6 this year?
I remember how hillarious it all sounded to me then.
It MUST have been a mere coincidence, right?
Btw, I'm going to home to Macedonia this Christmas and
I'll be doing some investigating into this story.

Personally, I enjoyed the action today from the sidelines.
Been waiting for learning experiences such as this one.

Cheers,
Zoran

Forwarded message:
> From [e-mail] Fri Jun  6 12:37:20 1997
> From: Zoran Mitrovski <[e-mail]>
> Message-Id: <[e-mail]>
> Subject: [CANSLIM] Watch Out!
> To: [e-mail]
> Date: Fri, 6 Jun 1997 12:33:37 -0400 (EDT)
> Cc: [e-mail] (Zoran Mitrovski)
>
> OK folks, here's something I recommend you read with
> utmost attention. These folks don't kid around and they
> mean business, especially considering that Macedonia's
> GDP could easily rank it among the 1000 largest US mutual
> funds. And if you ever will wonder who's shorting/selling
> in October, now you have the answer ahead of time. ;^)
> Watch out!
>
> Fresh outa the press (the translation from Macedonian is mine)...
> *******************************************************************
> 25 Macedonian Brokers and Bankers Forecast an Immintent
> Collapse of the New York Stock Markets
>
> A group of 25 macedonian brokers and bankers which represent all of
> the main banks and S&L unions in Macedonia forecast that the NY
> markets are on the verge of a collapse. As reported by the Macedonian
> Radio, the group is comprised from the attendees of a seminar
> sponsored by the Macedonian stock market and lectured by
> Dr. Sam Vakni (sp?) from Israel. According to the forecasts
> made by this group of bankers and brokers from Macedonia, the
> rise in Wall Street is upward-limited to 10-15% and there have
> been clear indications for the ending of the upward trend.
> Following the period of stability, the group claims, the NY
> markets are about to drastically collapse up to 35% down, and
> the collapse is about to occur around the end of October this year.
> ********************************************************************
>
> Cheers,
> Zoran


------------------------------

Date: Mon, 27 Oct 1997 17:38:59 -0500
From: "Gess Shankar" <[e-mail]>
Subject: Re: [CANSLIM] 30 minute close on the Dow!!!!

On 27 Oct 97 at 14:58, sam wrote:

> I know some people are feeling sick right now.

Yep, me - among them and despite fully expecting this
was going to happen. Though a short-term day trader, I got caught due
to bad trade management and became an unwitting and unwilling
investor in IMNT. The account with only this stock is now down 60%,
representing a good amount of trading capital. I really wish I had
taken the loss at the appropriate time and joined the shorting party
today to make up for the losses real quick.

Exhilaration, indeed. :-(

Gess

------------------------------

Date: Mon, 27 Oct 1997 18:49:09 +0000
From: Brad Miller <[e-mail]>
Subject: Re: [CANSLIM] Dow CRASHES!!!--HOWDY

Ken,

Have you been spammed yet by the CANSLIMers?  A tough bunch, No?

Brad


Ken Davidson wrote:

> Here we go!  Were now in a crash!  Isn't this fun!  At 2:35pm est. the
>
> market was closed as the Dow hit trading limits being down -350.  When
> this
> happened it closesd for a half hour.  At the time it was closed at
> Dow -354.37, 7361.04.  S & P 500 -43.38 to 898.26.  After the market
> opened
> the overall market continued down.  In less then a half hour the Dow
> hit its
> second trading curb.  This comes into play when the Dow hits -550
> points.
> At that time the overall market is closed for one hour.  The Dow
> closed at
> 7161.15, -554.26.  S & P 500 -64.50 to 877.14.  This was the Dows
> worst
> single point decline ever!!  Because we only had about a half hour
> left to
> trade were now closed for the day.  Many stock and mutual fund people
> mustn't be very happy today.  I'm feeling the same exhilaration as I
> did in
> the 1987 crash except today I'm in options instead of stocks.
> Tomorrow the
> market should rally if were fulfilling a true "crash" scenario.  Today
> there
> didn't appear to be any real panic selling.  Were feeling comfortable
> here
> right now but that is the benefit of trading indexes using credit
> spreads.
> The good thing about crashes is that they are swift in there actions.
> The
> question is: will we will stay down and have a bear market or will we
> correct and then head higher once again.
>
> Ken Davidson
> www.agoraoutlook.com

------------------------------

Date: Mon, 27 Oct 1997 19:20:13 -0500
From: "Charles F. Corbit III" <[e-mail]>
Subject: [CANSLIM] Globex Futures

I just heard on the news that the night globex session for the S&P futures
are limit down, that doesn't sound good for Tuesday's open <s>.

Couple of quick questions;

I was not aware that night sessions existed for S&P futures and also heard
that there is a night bond session. What other markets trade in the evening
and what are the hours for these markets ?

Also, can someone give a quick run down of what the trading curbs are ?
Someone told me that a 1000 point drop halts it for one day ??  Is that true
?



Charles F. Corbit III
[e-mail]
http://home.sprynet.com/sprynet/ccorbit/index.htm

------------------------------

Date: Mon, 27 Oct 1997 20:07:36 -0500
From: "Tom Worley" <[e-mail]>
Subject: Re: [CANSLIM] Horray!! (was 30 minute close on the Dow!!!!)

I realize this really sounds sick, but I was rooting the market on
(to the downside). I'm tired of being teased by these petty 120 pt
selloff days, that never venture near the two circuit breakers put
in place in 1988, and never tested since. About time we found out
if they work (they don't). Once we hit down 350 on DJ Industrials,
and took our childish 30 minute time out, we quickly got back to
work taking the market down further. Already the move from down 200
to down 350 was so fast as to leave little doubt that it was
program trading driven (thank you, big wire houses and
institutionals). Didn't take much after trading was resumed at
3:05PM EST to take it down another 200 points and trigger the final
circuit breaker around 3:30PM. Meanwhile on the Chicago Mercantile
Exchange, all the triggers, every single one, of them was hit (on
the S&P500 at 15 pts, 30, 45, and 70 pts).

At least now we know if we can depend on these safety checks built
into the system since 1988 (we can't). This was an extraordinary
correction (sorry, still not a crash in percent terms, we only lost
around 7% today, little more than a state sales tax, while in 1987
we lost 22%). We did set records all over the place, including most
pts lost in a single day.

Now for the silver lining: Ain't no way Greenspan is raising rates
in November, no matter what the ECI says tomorrow. The fear factor
has just skyrocketed, and a rate hike could break this mkt wide
open. Add to that the Asian currency issue (which alone wouldn't
stop him), the lack of definitive inflation evidence, the stripping
of excess valuation now out of the mkt, the likelihood of slowing
growth on exports due a much stronger dollar, lowering of rates due
the huge rally in the bond mkt, strengthening of the dollar
overall, cheaper imports due the stronger dollar and weaker foreign
currencies, and all his dreams are coming true without Greenspan
having to take "hostile" action.

What does Tuesday hold? Good question, and truthfully no one really
knows, since like the resumption of trading after the halt today,
nobody has ever been there before. Since selling was continuous
right up to the second halt, however, I would expect some further
selling at the open, possibly taking us down another 100 pts. After
that, I expect a reversal. One item, I caught a tip late today that
some of the hedge funds on the West Coast are ready to step in on
the long side feeling that the oversold condition is too strong to
avoid. Stocks I heard mentioned included INTC and CPQ and I think
the rest were all techs as well.

The expectation for the ECI, due out at 8:30AM, is for up 0.8%,
same as last month. If the report is measurably under this (my
interpretation is 0.6 or less) then we could see the mkt open
higher at the start, however this may set off another way of scared
sellers. I would prefer to see the mkt start down first and get rid
of any remaining selling pressure, while further tempting any
remaining shorters into covering.

One minor positive comment, unlike 1987 when the computer systems
couldn't keep up with the volume, that was not apparently a problem
today. On NASDAQ, had we not had the two half hour halts, we were
on track to break a billion shares trading. And, all in all, today
was a pretty orderly retreat under insane conditions. But until
more restraint is placed on program trading (like stopping it
entirely and making them enter individual orders like everyone
else), we better get used to days like this, it's only going to get
worse in the future.

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: Gess Shankar <[e-mail]>
> To: [e-mail]
> Subject: Re: [CANSLIM] 30 minute close on the Dow!!!!
> Date: Monday, October 27, 1997 5:38 PM
>
> On 27 Oct 97 at 14:58, sam wrote:
>
> > I know some people are feeling sick right now.
>
> Yep, me - among them and despite fully expecting this
> was going to happen. Though a short-term day trader, I got caught
due
> to bad trade management and became an unwitting and unwilling
> investor in IMNT. The account with only this stock is now down
60%,
> representing a good amount of trading capital. I really wish I
had
> taken the loss at the appropriate time and joined the shorting
party
> today to make up for the losses real quick.
>
> Exhilaration, indeed. :-(
>
> Gess

------------------------------

Date: Mon, 27 Oct 1997 20:15:34 -0500
From: "Tom Worley" <[e-mail]>
Subject: Re: [CANSLIM] Dow CRASHES!!!

Ken, as I mentioned earlier, this was much more of an orderly
retreat than a crash. In percent terms, doesn't even begin to come
close to Oct '87. The fear factor has now skyrocketed, so I do
agree we are due for some kind of rally tomorrow, but the late
reports I was getting before leaving work suggested Tokyo, and
likely other Asian mkts, were expected to be down big time tonight,
feeding off our drop. We seem now to be in a self fulfilling cycle,
where HK knocks us down, then we knock down other Asian and world
mkts, which further erodes the remaining ones.

As of Friday's close, we were already in oversold conditions not
seen since Mr. G raised rates in March, I am almost afraid to look
at the charts after today.

Personally, the fundamentals are not there to come close to
creating a "bear" mkt. What is more likely is that the swiftness of
this correction, along with its size (biggest percentage since the
bull really started if memory serves me correctly) is likely to
undermine confidence. That could be a blessing in disguise, as it
may well slow consumer spending due to the shock to the capital
growth investors were enjoying.

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: Ken Davidson <[e-mail]>
> To: [e-mail]
> Subject: [CANSLIM] Dow CRASHES!!!
> Date: Monday, October 27, 1997 4:12 PM
>
> Here we go!  Were now in a crash!  Isn't this fun!  At 2:35pm
est. the
> market was closed as the Dow hit trading limits being down -350.
When this
> happened it closesd for a half hour.  At the time it was closed
at
> Dow -354.37, 7361.04.  S & P 500 -43.38 to 898.26.  After the
market opened
> the overall market continued down.  In less then a half hour the
Dow hit its
> second trading curb.  This comes into play when the Dow hits -550
points.
> At that time the overall market is closed for one hour.  The Dow
closed at
> 7161.15, -554.26.  S & P 500 -64.50 to 877.14.  This was the Dows
worst
> single point decline ever!!  Because we only had about a half
hour left to
> trade were now closed for the day.  Many stock and mutual fund
people
> mustn't be very happy today.  I'm feeling the same exhilaration
as I did in
> the 1987 crash except today I'm in options instead of stocks.
Tomorrow the
> market should rally if were fulfilling a true "crash" scenario.
Today there
> didn't appear to be any real panic selling.  Were feeling
comfortable here
> right now but that is the benefit of trading indexes using credit
spreads.
> The good thing about crashes is that they are swift in there
actions.  The
> question is: will we will stay down and have a bear market or
will we
> correct and then head higher once again.
>
> Ken Davidson
> www.agoraoutlook.com
>
>
>

------------------------------

Date: Mon, 27 Oct 1997 20:22:44 -0500
From: "Tom Worley" <[e-mail]>
Subject: Re: [CANSLIM] Globex Futures

Charles, first keep in mind that somewhere in the world there is an
exchange open all 24 hours, the only difficulty is being able to
access it. Second, the aftermkt options trading normally starts at
4:15PM I think, however today the opening was delayed two hours.
Just like the aftermkt trading of equities, there is aftermkt
trading of bonds, however they are not usually so liquid, and
finding an opposite side to your trade often means paying sizable
premiums to the regular mkt or giving up considerable discount. You
gotta be pretty motivated to pay the cost of aftermkt.

I'm not aware of a 1000 pt circuit breaker, may be there but never
heard of it. Doubt there would be a full day halt, and doubt the
financial community would allow that, liquidity is needed even in a
falling mkt. Anyone knowing of this rule, educate me please. Far as
I know the final trigger is pulled at the dow30 plus or minus 550
pts.

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 <[e-mail]>
> To: CANSLIM GROUP <[e-mail]>; Tom Wallace
<[e-mail]>; Dudley Snyder <[e-mail]>
> Subject: [CANSLIM] Globex Futures
> Date: Monday, October 27, 1997 7:20 PM
>
> I just heard on the news that the night globex session for the
S&P futures
> are limit down, that doesn't sound good for Tuesday's open <s>.
>
> Couple of quick questions;
>
> I was not aware that night sessions existed for S&P futures and
also heard
> that there is a night bond session. What other markets trade in
the evening
> and what are the hours for these markets ?
>
> Also, can someone give a quick run down of what the trading curbs
are ?
> Someone told me that a 1000 point drop halts it for one day ??
Is that true
> ?
>
>
>
> Charles F. Corbit III
> [e-mail]
> http://home.sprynet.com/sprynet/ccorbit/index.htm
>
>

------------------------------

Date: Mon, 27 Oct 1997 17:40:43 -0800
From: "Ken Davidson" <[e-mail]>
Subject: [CANSLIM] Asia is down tonight

I hope this helps in letting people know whets going on tonight.

 The first overseas market open tonight was New Zealand.  It opened up down
10%.  Other Asia countries have so far opened down another 5%.  Globex
trading in the S & P 500 futures is already limit down, -15.00 points.  Were
guaranteed a down open tomorrow morning unless the Asian tigers turn this
thing around.  Hong Kong opens up at 9:00pm est. It will be up to them.
Japan has put in delayed bid, offer prices of a half hour to slow down
trading.  To see what Hong Kong does at the open watch CNBC at 9:00pm est.
for a special or watch CNN.

Hope everyone has a good sleep tonight!!

Ken
www.agoraoutlook.com

------------------------------

Date: Mon, 27 Oct 1997 20:32:37 -0500
From: "Tom Worley" <[e-mail]>
Subject: Re: [CANSLIM] Greenspan

Rich, applying that rule would mean you would still be long till
tomorrow (he doesn't speak to Congress till Wednesday). Might want
to give Mr G a little more lead time. BTW, FOMC meetings are
usually every other month, so you might be able to stay invested a
little longer in between.

The Asian currency crises is being widely perceived as the
catalyst, not the cause, of this correction. Whether Mr. G's
warning some days ago can be credited as the actual cause will
probably be decided by the historians, however there was huge
profits built up just looking for an excuse to sell. Asia certainly
provided that. What is remarkable is the bond mkt doing so well as
all the foreign dollars, plus now much from the stock mkt, pours in
yet the stock mkt continues to suffer. It's obvious that gold is no
longer being seen as a safe haven, only rallied $3.60 today despite
the huge drop on Friday. Even within this group we have been
periodically talking about the deterioriating "M" for some time.
And I know I have mentioned a number of times of seeing evidence of
inflationary pressures increasing, so didn't find Mr. G's warning
that the Feds could still hike rates as any surprise. I was more
surprised by the bond mkt's reaction, as if no one had even
considered the possibility, which was his whole point.

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: Knowles, Richard N. <[e-mail]>
> To: 'canslim list' <[e-mail]>
> Subject: [CANSLIM] Greenspan
> Date: Monday, October 27, 1997 3:59 PM
>
> Heh!
>
> I've come across a new market indicator.  Its called the
Greenspan
> indicator.
>
> You simply mark down every time he is supposed to speak on a
calendar
> and sell everything you own the day before.  I see a 1:1
correlation
> with market downs here.  The effect is remarkable and each
occurrance
> trails on for weeks afterwards.  Lets see, with FOMC meetings
monthly,
> congressional updates, ad-hoc speaking occasions, quotes to the
press
> and (god forbid) a guest spot on CNBC there aren't many stock
shopping
> days til Christmas.
>
> How much economic damage would have been done if he hadn't fueled
this
> panicky environment?  Do you suppose todays action would have
happened
> without a spokesman for doomsday stirring things clanging the
gong?
> Sure saved us didn't it!
>
> BTW, when everyone rushes for the door, a sell strategy does
little
> good. (Just venting, I was 50% in cash when my pants were jerked
down
> around my knees.  Luckily most are small caps.)
>
> Rich
>
> - - - - - - - - - - - - - - - -
> Rich Knowles
> X5451

------------------------------

Date: Mon, 27 Oct 1997 20:52:22 -0500
From: "Tom Worley" <[e-mail]>
Subject: Re: [CANSLIM] Now what?  A bird in the hand. . . .

Sam, as I have mentioned here before, it should take 8 business
days from point of initiation by the receiving firm to transfer a
cash/margin acct that is in good order (no calls on it) and only
contains securities which the receiving firm can handle. On a tax
sheltered acct, add two to three business days as the transfer form
must be physically delivered to the delivering firm. If it takes
longer than this, start yelling at the receiving firm (yelling at
the delivering firm does no good, they already know they are losing
the acct and could care less). The biggest delays I have
encountered were  with delivery from major wire houses.

If both the delivering and receiving firms use the same clearing
house, then a journal transfer can be done, takes about three
business days usually. If you try for a DTC transfer, which should
only take two to three days, it can takes several weeks minimum and
sometimes even longer. DTC doesn't work as well as it should, one
mistake the client routinely makes is in not notifying the
receiving firm that he has issued DTC instructions to the
delivering firm, thus the receiving firm doesn't set up
instructions "to receive" and the delivery attempt fails (think of
it as two people setting up an appt to meet on a street corner,
they need to know where and when and what is to be exchanged).

Another point I have made in the past is to have a check cut for
whatever cash you can draw off the old acct before you start the
transfer. This can get you started at the new firm, including
shorting a stock that you hold long in the other acct, then
marrying the short and long once received. If you do this, leave
enough in the other acct to cover a $50 termination (or delivery)
fee which many firms have started charging, as well as whatever you
need to prevent any calls on the acct.

No one should tolerate having their acct held hostage for 30 days.
Feel free to threaten if necessary. I monitor my accts being
transferred in closely, and won't hesitate when I see one going
even one day past reasonable delivery time. Unfortunately, if you
aren't getting the same kind of "back office" support, then you as
the client must push the system.

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: sam <[e-mail]>
> To: [e-mail]
> Subject: Re: [CANSLIM] Now what?  A bird in the hand. . . .
> Date: Monday, October 27, 1997 9:51 AM
>
> One reason I still have a full service broker is because of the
lack of
> trust in the market. I didn't want my stocks tied up in transfer
which I am
> finding out takes a super long time. I have been some what
nervous of the
> market for several weeks and didn't want to get caught in transit
and take a
> loss after achieving one of my first big gains. I have transfered
my
> retirement accounts to a online broker and it is takeing about a
month for
> the transfer so far and no money yet. I will call them today to
find out
> where the money is.
>

------------------------------

Date: Mon, 27 Oct 1997 20:55:19 -0500
From: "Gess Shankar" <[e-mail]>
Subject: Re: [CANSLIM] Globex Futures

On 27 Oct 97 at 19:20, Charles F. Corbit III wrote:

> I was not aware that night sessions existed for S&P futures and also
> heard that there is a night bond session. What other markets trade
> in the evening and what are the hours for these markets ?

Pretty much round the clock for S&P 500 and many other index futures
in CME. There is also 24hr trading in currencies. Globex starts from
3:45 pm and goes on until 8:15 am. Of course, the auction market
opens at 8:30 am and closes at 3:15 pm. So you can rest for 45
minutes. :-)

>
> Also, can someone give a quick run down of what the trading curbs
> are ? Someone told me that a 1000 point drop halts it for one day ??
>  Is that true ?
>

Tom probably will know better, but I have not heard of a 1000 point
breaker.

1. Trigger: +/- 50 points: This stops all program trading by
computers. Removed when DJIA retraces its gain/loss by 25  points.
(Rule 80A)

2. Trigger: +/- 350 points: Trading halt for 30 minutes (Rule 80B)

3. Trigger: +/- 550  points: Trading halt for 60 minutes (Rule 80B)



Gess

::::::::::::::::::::::::::::::::::::::::::::::::::::::::
Gess Shankar                                pax vobiscum
[e-mail]        http://www.earthchannel.com
Earth Channel Communications, LLC.
::::::::::::::::::::::::::::::::::::::::::::::::::::::::

------------------------------

End of canslim Digest V1 #327
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