Jim Goodman's "The Right Side of the PSYCLE sm"
Stocks/Industry Groups Timing Newsletter, and Education service
"The Teaching Newlstter"....Learn the Patterns and Concepts Taught....then View the Charts, and Choose from sec. (3) and (6) and (7) ideas....NEWSLETTER, issue # 139, dated: 10:00 am, P.S.T., Thursday, Oct. 21, 1999

Thanks for the interest in special, directly helpful 'one-on-one consultations' with me, while we both are on same website and the phone, simultaneously....while together, I will "show" you exactly what we are looking for, longside and in puts, "pattern-wise"....This may make everything clear, quickly, to you....real valuable stuff, and a series of sessions/lessons, even on the phone, may solve any remaining impediments or questions you may have about implementing my output or "seeing" the patterns....Contact me anytime to set up appointments at times convenient for you: (949) 786-2577....I am trying to offer more things of real value for your lifetime investing benefit ....as an example, Wade C ook charges $ 3-6-9-12,000, has no follow-up nor portfolio mgmt. help, nor a helpful NL twice each week with specific ideas to take advantage of, and some people still tell me they leave out plenty of helpful items and basics....A good CPA or lawyer can charge $ 250- 500 an hour, and may not teach you things of lifetime value....You can get me for a fraction of that.... great....so, let's talk....

(this is in every NL): If you are a "NEWER" Subscriber, please take the time to read/printout ALL of the "wordy" parts of this NL, once or twice, anyway....If you are an "OLDER" Subscriber, of course, feel free to SKIP, or not print out, those specific NL sections you do not wish to glean your information from. (Save/printout all my CUMULATIVE newsletters, for future reference/educational learning/help). If you are pressed for time, at least read Section (2) to develop a "feel" for Sentiment patterns --- and Section (3) always, while taking the time to View some individual stock CHARTS, "piecemeal" at least....Please, neither expect ME to stay "super hot" nor "super cold" forever. NO emotion --- and do NOT "just extrapolate the most recent results forward, good or bad, forever" !!! Relax, take the time to VIEW/learn the pattern/charts, enjoy the process....Realize, that probably 2/3 of each NL is the "same" each issue ! so, once familiar with the 8 sections, and the concepts, you should NOT have to spend much time with each NL....

DO view at least SOME charts, every day, a big secret to success in stocks ! If pressed for time, just read section (1) and (2), and View some charts, from section (3)....I give a LOT, for very little money....spend 30 minutes, or spend up to 3 hours, with my output, twice a week, it's up to you.

1) "PSYCLE SENSE sm": new:
Hey, we did it again for you....neat....got Very Short-Term lows, "after the first hour or two, the Mon. or Tue. after declines"....whew....Many depresseds came real close to breaking, some did, barely, but many were/are still "buys under duress" as taught in my "EVB" and "Mastering Psychology" Booklets....See ? just as "the 95 %" turn off, as I suggested as normal sequence....are you learning ?

Also as I suggested, staying in many depresseds even though they seemed to have "fakeout breakdowns" may turn out well for you, especially in light of likely 'tax-loss' selling abating ahead, dig ? Hope you learned this "PSYCLE sm" nuance ....Another potential help: the % of stocks above their 10-week MA's, at only 13 % recently, and above their 30-week MA's, at only 22 %, are also the lowest (and most potentially bullish for depressed stocks) since my predicted Oct. lows of last year 1998....Also, the "A.A.I.I." index of bullish/bearish opinions, last week, had a reading of only 19 % bullish, historically a very low (and potentially bullish) level, dig ? Last, according to Barron's 10/18 issue, recent oversold readings vs. MA's are sorta close to levels seen near lows of 1987, 1990, 1994, 1996, and 1998....So, one may actually have a Few things in favor of some bullishness among depresseds from here ?

Of interest, see the dichotomy/split market, which has served us so well over the years, especially late each year, whereby the "high-relative-strength, big OTC names" may top, or go sideways, as the already-depressed stocks form EVB's and pop....And a real interesting FACT, not generally known (as most all my teachings are): Barron's showed a table of what happened in every October, since 1983.... and, CONTRARY to what "the 95 %" (mis)believe, only 1987, and a little bit in 1997 and 1989, wre down....and, of course, in 1998 it ROSE a ton, in Oct., right ? also up in 1993, 1986, and 1996....surprised ? Ignore 95 % of everything else....

Please appreciate, how much time/effort I put in, to put ALL applicable, staged, stocks, which fit learnable, and actionable, "PSYCLE sm" patterns, into each NL....Sometimes fewer, sometimes more, as befits market conditions....again, the "Most Actionable, Do-able, stocks, Here/Now", are in Section (3). And, the "Learning/feeling/Sentiment/commentary" items, are in section (2). Longer lists, and Industry Groups, are in section (6) and (7)....and all "follow-ups", are in sections (4) and (5). Of course, if you do not own any of the stocks in sec. (4) or (5), you may choose to save time by ignoring those if you wish....Eight, very clear NL "sections". You have No excuses for not taking advantage, over time.

2) "What's Been Said, and What I've Read":

a) Important Industry Group (Rotation) notes: 1) neat, as we were the first/only to predict for you herein, many Banks, Financials, Brokers, Onlines, Retails, have S.T. bottoms forming.... 2) while, even with the "Dow" up 200 on Tues., the Comp./Hdwre./Semis, are falling off suggested S.T. tops ....3) as I said recently, the DJ. Util. and Trans. indexes had still not made final lows, but, as I also said previously, neither has tons of downside left.... 4) "fundfamentally" (oy) some of the beaten-down Insur. stocks are due to become "takeover" targets ahead, as Congress removes the 60-year-old barrier to Banks owning Insur. companies....as taught you, 'sometimes', fundamentals DO help --- but ONLY after the "PSYCLE sm" technicals are in place....You should know I am 100 % against repealing Glass-Stegall, unless one also levels the playing field perfectly for all Banks as well....never happen....but you will probably do well with our EVB's herein, in these groups, over time, while "the 95 %" get too bearish on them.... 5) we may have just missed putting the "Asian" stocks at their highs....well, I tried for you...

b) more, misleading, sensationalized, and/or improper/incorrect comments from the Financial Media, Reporters, etc.: 1) CNBC's Bob Pisani, Tues. a.m., said, "it is hard to find even one single bull, in the T-Bond pits"....you should know by now what that likely means....he repeated his findings, Wed. ....2) Tues., on CNBC at 9 am, a Nesbitt, Burns, analyst, said, "higher prices are here to stay...." ....3) another beautiful "PSYCLE sm" signal, L.A. Times, James Flanigan front-page story, 10/17, "a decade of Defense mergers yields disappointments", gets published only AFTER large % declines (as you know, we were the first/only to have predicted herein for you herein) in those stocks....also published near S.T. low....neat, huh....the pattern never changes.... 4) front-page headline in the "money & investing section" WSJ, 10/18, "Return to 10,000: is this Bear territory ? This....party would be a downer....as interest rates climb...." , also gets published right near the S.T. lows, get it ? last, as explained in my "Scenarios" and "Media" booklets, they show a very misleading chart of the T-bond, which, nevertheless, shows I.R.'s NOT "climbing", only up 1 1/2 % since lows predicted here last summer....if just a 1 1/2 % rise is "climbing", then what word would they use for a larger rise, as we have had many times this century ? Last, in the article, they interview a daytrader gal, who was all excited about making $ 600. Friday intraday, then admitting she had lost $ 13,000 the previous few weeks....perfect daytrading mentality....

5) CNBC'c Alan Chernov (again), Wed., 8:50 am, misleadingly showed just a one-month chart of DELL (talk about lack of proper perspective), "look at the volatility there...." WRONG....even a teenager knows that a S.T. decline of just 24 %, is NOT "volatility"....Geez, DELL also fell 24 % from its Feb. '99 high, and no one said anything....Re-read my "Scenarios" and Media" booklets, regarding "words' used by Media people, etc. Note, they only mention "volatility (and, almost always incorrectly, mind you), after a decline, rarely after advances, as if "volatility" in and of itself, is somehow inherently negative....idiots....the damage they do to nice people.... 6) CNBC's Joe Kernan, reporting how some stocks are reporting "great earnings, but their stocks fall", said, "I am getting tons of faxes, asking me to tell them what is going on, what is causing this...." Which explains a lot about how 95 % of all people view things, yes ? And, of course, he does not know anyway....so why are they asking a reporter such a question, in the first place ? But he could be sending all those people to me, and they would be helped....what a shame....

c) more incorrect/misleading/sensationalized, and/or improper comments, from Fundamentalists/companies/newspapers/magazines, etc., vs. illogical/contrary/unlinkable, past/present/future stock price moves: 1) Wed., CNBC's B. Griffeth, 9:20 am, interviewing the pres. of "EMC", posited, "EMC's earnings beat the street....but if things ar eso good, how come it's stock is getting smashed ?" Well, as usual, his comments are improper on two levels.... first, a stock correcting only slightly from 76 to 67, is NOT "smashed"....second, EMC has has a pretty, rare, steady rise for quite a while now, yes ? Reflecting, if one likes fundamentals, steadily improving earnings, which Mr. Griffeth should have known and reported, but did neither....next.... 2) similarly, Wed., on CNBC, 10 am, "LLY" reported that Prozac sales will be lower....but, as taught you, that "news" only comes "out", now, after its stock had already fallen from 97 to 65, dig ? the pattern never changes....all those overpriced analysts loved LLY up there, yes ? Just like they loved PFE (viagra), and all the other Drug stocks near their highs, even as they sold at ridiculous PE's (which "fundamentalists' are supposed to value when low, not high, but do not, right ?), when I gave them out as Puts herein near their highs....Last, amazingly, a gal reporter on CNBC, 11;30 am, actually said, "lower sales of Prozac are depressing LLY stock...." , and did not even know she made a good joke....unbelieveable....Some of those people are so wrapped in their tunnel-vision and ignorance, they don't even know what they just said....next....

d) more, likely late, incorrect, and/or misleading, comments, from Brokerages, NL writers, Analysts: 1) note, again, the major finl. papers interviewed multi-year, semi-perma-bear Jim Stack, right near the V.S.T. low recently, yes ? get it ? the pattern never changes....but at least he did show a chart of the "17 big-names which are in stage 4, PSYCLE sm-type top formations", in which he agrees with me....but, instead of using total I.G.R. properly, long and short diff. groups simultaneously, he has missed tons of moves the last several years, which we have caught for YOU, herein, by his incorrectly 'trying to paint the whole market with a braod brush'....my stuff is so much better for people....but he is 'famous'....must have a good PR person Ihave been unable to find....what a shame for the country.... 2) I heard yet another wordy, wing-tip, useless analyst on CNBC use the maddening term, "at this particular point in time..." Gee, couldn't he just simply say, "now" or "here" ? I rest my case about "analysts"-speak.... 3) a true, and scary story, in Barron's 10/18, told, how options market-makers in "TYC" stock (which I gave you herein as a put near its high recently), just "stepped aside" when its stock fell from $ 105 to 83 real quickly, and did NOT provide liquidity nor help (which is, supposedly, their job ....so what else is new....don't get me started). They specifically said, "although the exchange was displaying the bid/ask prices, it wasn't necessarily honoring them." I rest my case....More reasons to have a good full-service broker ....They also said their study found that 45 % of the time, the 'best prices' are "passed over by other exchanges"....wow....FYI, a good full-service broker can make/save you 1/8 on each side of transactions, often enough, to more than compensate you for seemingly on-the-surface higher one-time costs....Keep that in mind for when I re-enter the biz....don't lose me....BTW, long-term, I think some market-makers will go under, and/or be replaced by computers more....Good....have you ever met some of those people ? We have found most of them often pretty nasty, and quite uncaring about helping others, which is supposed to have been their whole reason for existing, in their "good old buys, anti-client club", but I digress....

4) Richard Russell's Dow Theory Letter, 10/6, "the Dow confirmed the Trans. weakness by violating its own may low....the 2 avgs. breaking below critical preceeding lows has signaled that the primary trend has turned down and that a primary Bear Market is now in force." Hmmmm, as I said, he only "begins to go bearish" after many large drops have already occured, and I say we have a S.T. low in many depressed stocks here....we shall see who is early and who is late.... 5) Barron's 10/11, in a letter to the editor, Bob Farrell, pointed out that, "it is a sad commentary when Alan Abelson's column says that the most expensive stocks are considered to be the best investments", while many good companies with lower PE's, dividends, etc., "languish in price with this new investor philosophy." I agree.... 5) unfortunately, Barron's also mentioned Jim Stack (see above) to no help, and then promoted a new "DOW 36,000" book by two other guys, whose whole premise, according to Mr. Stack, is flawed....but, of course, they both got major mentioned in Barron's, so tons of unsuspecting, unenlightened people will by his NL and their book, anyway, the Media fostering more damage, and enriching the wrong people....and here I languish, better than all of them....amazing....

e) more general items proving why one must ignore 95 % of everything else out there: 1) each year around this season, I reiterate how, often, people in Mutual Funds get whacked with having to pay taxes on 'gains', and 'distributions', even when/if their mutual fund may have actually declined in price during the past year ....Another in a long line of logical reasons why I eschew most MF's, most of the time....In most cases, one should consult tax people before buying newly, or holding, some MF's, late into the year....check this out if this applies to you or anyone you know....As usual, the finl. svcs. ind. itself has done a lousy job of educating investors.... 2) more confirmation of residential R.E. likely tops: Barron's 10/18, "Have Lumber Prices Bottomed ?" pointed out that, "since July '99, lumber has fallen from a high of $ 440. per 1,000 board feet, to $ 286, before bottoming a bit." Gee, if, supposedly "housing demand/prices continue hot as blazes", then, how come Lumber, uh, at roughly 25 % of all housing costs/demand, FELL so much ? No "links". Gotta get me a L.T. chart of Lumber, so I can see where its L.T. support may lie....As previously reported here, "Stock Prices" of housing companies have been falling for months....But, I also see a potential bottom coming in them, now that the analyusts who loved them at their highs, are afraid of them now, dig ? the pattern never changes.... 3) oh, forgot to tell you of one more occasioanl negative about ALL discount broker firms, sometimes anti-client service, not disclosed: many, many of these firme occasionally "mark-up" and/or "sell to you, from their long inventory", stocks, mostly OTC stocks, sometimes when one might have gotten better prices otherwise....several have been chastised by the SEC....

As you have seen over the last year, how well one does, just "doing" the best individual stocks, and Ind. Groups, chart-technically, and sentiment-wise, mostly long-side, while ignoring, or going contrary to, 95 % of all Media messages, and "indexes/averages" comments, from the peanut gallery ? By just getting my output, alone, you do much better, and save time, by not having to even try to "seek, and process" tons of other, useless fundamental info., anyway....and we also help remove potential emotional problems before they begin.

3) Most recent Hypothetical "PSYCLE sm" transactions, to be mimicked, and referred back to:

Always remember to view "1-year-at-least past" charts of everything you can view, herein, along with their 200 day moving averages (DMA's), to "see/learn" the "PSYCLE patterns", and see where/when stocks in section (3) were Hypothetically bought near lows, and put near highs....note: (Q = quick; i.e, was less than 2-3 months holding period ....VQ = very quick; i.e., was less than 3-4 weeks holding period)....and "VVQ" means it was held even shorter-term than that....

Also re-read "the Guide" for how I derive the Estimated % percentage Gains I show herein, on assumed Hypothetically closed-out trades (always assumed to have been in Options, where applicable/suitable, and on margin where available/suitable/logical, and on a cash basis where not, as per "PSYCLE sm" tenets)....and "bal." here in section (3), means, "the balance" of assumed long positions, assuming an initial "1/2 pos." sale....and, "css" means "covered (previous) short sale", where no puts options existed....


* Previously assumed Long positions most recently SOLD (showing the actual price changes, in parentheses, from the price where/when recently originally recommended herein, to the price where very recently Hypothetically "Sold"):

more Put Gains for you: puts CTS (58+ to 43++) for Q 175% G....1/2 pos. puts TQNT (70- to 55+) for VQ 111% G....puts JCI. (70 to 58+) for 100% G....bal. puts CYTC (40- to 32) for VQ 75% G....bal. puts ATML (39+ to 31-) for VQ 75% G....1/2 pos. puts SPW (91 to 80) for 90% G.... puts ACV (27 to 22+) for 66% G....1/2 pos. puts PMK (28++ to 24++) for VVQ 85% G ....1/2 pos. puts TERN (49- to 40-) for VQ 100% G....puts CCL (48+ to 40-) for 90% G....puts SU (43+ to 35+) for 100% G.... puts LD (21+ to 17++) for VQ 90% G....puts TAM (13- to 10+) for VQ 66% G....1/2 pos. puts NOPT (39 to 32) for VVQ 80% G....css BIO/A (29- to 23+) for 33% G....1/2 pos. puts MSFT (95 to 85) for VVQ 66% G....puts SUI. (36- to 31++) for 44% G....

Interesting, if you go back and actually count them in section (3) here, in the last 9 NL's, since the 9/27 issue, total, we have "taken" 57, Quick, Large % Puts Gains for you, with 30, Q, smaller % Puts losses....decent....

and/but, longs, ESOL, SOC, CGI., TMCS, NHC, EAR, IM, CKP (8 to 9+ to 8), bal. PFC (6++ to 9 to 6++), and, puts, OMPT (66 to 56 to 67), DTPI., IRF, RCL, for quick, very small losses, normally of smaller overall consequence to a properly diversified L.T. portfolio....but still been too many of them lately.... rare....I also wish I could be more clear about these '?' questionable sales lately....it just happens that way at times....
also, note the small breakdowns of budding S.T. bases among longside Q, S, losses, here....gotta preserve capital....

NOTE: while most of the $ 5 to $ 10. stocks are listed here as "stocks on margin" ("stk.on.mgn."), if one Had bought L.T., in-the-money calls options, their % Gains/Losses would have been multiplied, higher, right ? We prefer not to buy Calls on most stocks under $ 10., unless their patterns are phenomenal, as their options premiums tend to be too high, vs. buying those stocks on Margin, with close stops, where suitable, instead, with less arithmetic risk, and yet, similar reward potential--- stocks themselves have no "premium", right ? and, of course, if one just bought said longs for cash, and not on margin, the % Gains/Losses here would be relatively smaller, though still excellent, for such short holding periods, yes ? also, obviously, these "transactions" are always listed, from biggest % Gains, to smallest, then all losses....

* Newly/Additionally BOUGHT/Buyables, right around/near these prices only:

(either for Cash, especially in Pensions, and/or on Margin where suitable, and/or Only L.T., in-the-money Options, where suitable/available, always Diversifying, always with close Stops below/above recent lows/highs):
(note: If you are New to this NL, here are the most recent "Buyables/Puttables", long/short) (note: a " - " after a price, means "just under" that price....and, a " + " means "just over" that price....i.e., 16+ means, 16 to 16 3/8, and, 56-, means, 55 5/8 to 56, etc.)....again, the idea is to "just get real close" to my listed prices here, when buying long/selling/putting issues given....try NOT to worry about every 1/8 or 1/16....

**** Newly BOUGHT Long-side, for potential Rises: (note, most are still pretty low-priceds, read thoroughly, some new "repeats" and "revisited" "new" ones again, here): each alphabetically by symbol: again, "just get real close" to suggested prices:

(note more new ones) 1/2 pos. ALL @ 24-, 1/2 pos. AMD @ 16++, CMH @ 8++, 1/2 pos. FIX @ 6++, FTN @ 28-, HIB @ 12-, HRC @ 5+, HWS @ 2.06, IMG ?, LRW @ , MSPG @ 26-, RTHM @ , WIR @ ,
note, SCIO, was Not bt. last time, still too high from bottom of base....

"Repeats": (Note, some new ones !) AGE @ 24++, AMTD @ 16 1/8, ATC @ 1 3/16, BAMM @ 8.06, BDX @ 26, BWL/A @ 7-, CASY @ 12+, DMI. @ 2 9/16, EGRP @ 22+, HCM @ 3 15/16, HSIC @ 13++, IFMX @ 6 9/16, IMH @ 4 3/16, JBOH @ 7+, LDW @ 6+, MSN @ 9/16, NTBK @ 20, PIR @ 6--, SEV @ 2 5/8, STE @ 12-, TG @ 21+, TMO @ , TSC @ 4.06, TXB @ 3 11/16, USL @ 6++, VBAC @ 1 3/16, WTT @ 1 5/8....most are still EVB's, bases, and/or very low-priceds...."buy (only) low", right ? (but still 'Not that great' a list, as I have been intimating recently)

NOTE: as I teach in the "Green Guide", countless times, you should know, that, often, there is NOT "just one day, time, or price" when my stocks become "long buys" or "long puts"....some stocks may hit around originally suggested prices, 2, 3, 4 times, etc., sometimes over a period of weeks, as they may form EVB's, double-bottoms and/or bases, or longer tops, right ? When/if they rise/fall in between those times, I follow-up those moves, in section (4) and (5)....this is a Positive, a Benefit, for you....Remember, I have subscribers who ARE already in stocks which have already moved before YOU may have just noticed them herein, dig ? And there ARE many subscribers who ARE viewing the charts of the stocks herein, first, before acting....and there ARE subscribers who DO want "longer, more thorough, teaching" NL's/items from me....so I give it all, for all your situational needs....your choices, no excuses....

*** therefore, all my given stocks REMAIN buyable/puttable, every time they hit originally suggested prices, unless/until they break their patterns....even if weeks pass by !!! "Just get close", and do everything else properly: the stops, VIEWING the charts BEFORE acting, NOT forcing trades, NO emotion, diversifying, etc., and, of course, LEARNING the stages/patterns of price, ind. group, and sentiment/media, patterns.

** Important: took, SIEB, RLC, DUK, FLS, LTR, Off the pot. Long Buys list, before they might have been Hypothetically "bt." ....we do Not "Guess" at bottoms....

Note, I try to give "something for every type of investing/trading desire/account/objective", including some real cheapies, some $ 5-10. stocks, some over $ 20. stocks, and some "names" blue chips, etc. --- either, for straight Cash, and/or, on Margin, and/or (only) L.T., in-the-money Options, etc., so that all my valued subscribers have Choices, and for proper Diversification --- all still having similar, exploitable patterns, in each NL....LEARN the patterns !

**** Newly BOUGHT, long "PUTS" (or "short sales" if no puts), for potential Drops: alphabetically by symbol:

(new ones) RCNC @ 50,

"Repeats": DOV @ 41-, GGG @ 33, POG @ 9-, PVY @ 29+, SANM @ 82+, SEWY @ 29+, VVTV @ 29....Note, much smaller list, due to many drops having already occured....

and/but, took, ADBE, IRF, Off pot. Puts list, before "put", as they aborted their patterns immediately (also see recent past issues taken off, here)....also, any new highs = off the Puts list....VIEW their charts, to see what aborted Puts patterns look like, for YOUR lifetime benefit....

*** and/but, among stocks recently given you herein, in sections (6) and (7) below, we "just Missed", LNCR, MIR, as Longs/Buys near very recent lows, and, ORCL, ARA, SNE, HIT, CHKP, ICGE, AMGN, as Puts/Shorts, near recent highs....Every single stock listed here over past NL's was specifically given you herein, in sec. (6) or (7), previously, and you very likely could still have caught them, if you took the time to view their charts recently....More proof of the power of "PSYCLE sm" patterns....again, just because I honestly admit "missing" some, does not mean YOU have to miss those....if you do just a little work, you may catch ones I miss herein....

I will always tell you here, also when we "miss" catching suggested ideas, so you can "view/see" and LEARN their charts/patterns, for your educational benefit. Also, this tells us whether the market itself is providing more bottoms/tops, at that time, right ? Another reason why it is important to consider ALL my output, each NL....Again, the idea is to Learn the "Patterns" of previously "given/done" ideas, for YOUR future benefit.

*** All previously mentioned ideas are Followed-up here below, for your Educational/Trading benefit....check these lists/issues briefly, to see if any YOU own, or are considering owning, are mentioned....

4) Already given out in previous NL's, assumed Hypothetical "Long-side" positions:
(issues moving since last time, worthy of following-up, and/or mentioning, because of recent price moves, still remaining long in most all of them, unless otherwise noted):

(* too late to buy up here, usually up already, and/but acting A.O.K., so stay in these, long, for now):

**** note: (sos) means "Sell On Strength" (i.e., on a bounce up towards resistance, and/or where it broke down from)....("S") means Sell it here (if still right at/near the listed price level).

still giving you some nice risers (note, these have always been listed, in order, from the biggest % moves, to the smallest important most recent % price moves): read this, and the last few lists here, thoroughly, carefully, and check their Charts to see the Patterns:

STE 13 3/4 up 1 5/8, MM 14 up 1 5/8, HRC 5 5/8 up 1/2, AMD 17 3/4 up 1 1/4, NTBK 21 7/8 up 1 3/8, AGE 25 7/8 up 1 1/2, FTN 30 1/8 up 2 1/2, HIB 12 5/8 up 7/8, RAH 19 1/8, HMA 8 3/8, HEB 7 1/2, DAY 0.11, higher, since last time here....mostly Health and Financial, dig ?

note: please try to appreciate, that I have some subscribers, who want "real quick and out" trades, and others, who want the "multi-month holds for bigger potential gains" trades....by VIEWING the "higher still" list above, you will hopefully learn better PERSPECTIVE in the overall chart patterns, and what can really be accomplished at times, if one lets them....always view the One-year Daily charts....

and/but, then, seeing Many pullbacks, and/or bounces off pullbacks: IFMX 7 1/2 up 1 1/8, DMI. 2 7/8 up 3/8, BAMM 8 5/8 up 5/8, CASY 13, ALB 17+, ATV, SYNX, APFC, TXB, GDC, EGRP, TBFC +1, MWHS, NTBK, BDX, PWN, AMTD, SEEK, TBP, SDH, SSC, JBOH, TSC, NWK, PWN, KRY, PMC, TCA, HSIC, CCC, LDW, HEB, HOC, TPN, BWL/A, OJ, NPK, MCL, TSC, BCP, CDE, TE, TPS, MSN, CCH....some of these are also in "ms/sos" list below....remember, many "Golds" are already having normal stage 2 pullbacks, right ?

again, please do not be afraid of buying the "Real Depressed Stocks", even in pension accounts, always diversifying, with close stops.... Again, you Must buy at least a FEW, minimum, at one time, to increase your chances of being in the bigger movers....Lesson: there is NO such thing as "but, Jim, which 1 or 2 are your favorites ?" It is impossible, and illogical, to expect anyone to be ble to choose just 1 or 2, out of 2,500 issues....maybe 5 to 10, long-siders, and also 5 to 10, put-siders, sometimes, but never just 1 or 2 ....One must also eliminate one's "PSY-chological need for excitement", and/or of "instant/S.T. gratification".


and/but, these already assumed Longs, are acting weaker S.T., and/or must strengthen, and/or must strengthen "again/anew", and/or must "break above recent high or else", and/or are sales on strength ("sos") to/towards/near resistance:


(note, some of these are also in "pb" list above....obviously, any stock near its lows, or close to breaking, "must strengthen" or else, yes ?) BCP 5 3/4, 6 5/8, NTBK 20, SSC, HSIC, TE, JBOH, AMTD, HLX, CASY, IHK, PWN, HMT, MWHS, CCC, LWN, SEV, LDW, HOC, HCM, IMH, TPS, HIV, MSN, TG....

5) Already given out in previous NL's, assumed Hypothetically long "Puts" positions:

(issues moving since last time, worthy of following-up, still remaining long in these Puts, unless otherwise noted):
* may too late to "begin" to buy puts on these stocks now, but they are acting properly, stick around:

Puttables specifically given you herein, many which are Falling/further:
CMOS -8, JCI. -7 1/2 (sow), CTS -5 1/2, VVTV -2 1/2, ADTN -2, AVX -1, NOPT -1 (sow), TERN -1, BRR -1, PMK -1 1/4, VISX -1 (S), UVN -2, RCNC -2, SLR, MSFT, ATML (S), CCL (S), BIO/A (S), TAM (S), SUI. (sow), TNL, EQT, HAE, WJ, fell even further....note, PMK, LLTC, DGX, MSFT, LD, all fell to their 200 DMA (S)....and, MXIM, BRR, LSI., approached their 200 DMA.... while, IBM 91 dn 16 neat, CGX 19+, EFII. 38+, HWP, TYC, NTLI. (S), TER 29+, DLX 32+, DEX 34-, ETN 70, ADI., fell even further....

Note: these have always been listed, by "number of points falling", from most, to least...."(sow)" means, "Sell previously long puts On next Weakness, towards/near support"...."(S)" means sell/sold their previously long Puts right near here, and/or as in section (3) above....I follow-up Every idea mentioned, for YOUR benefit....remember, these are NOT "overnite" trades, they take a little time to fulfill, so please have some patience, and no emotion, nor antsiness....let them do their thing.

* But, then, these, are acting too Strong, and/or are Bouncing, and/or Must Weaken anew, nevertheless, and/or are sales on pullbacks/weakness ("sow"):

BRCD -2, +34, ICGE +14, -5 1/2, OMPT -5, + 8 (S), MXIM +6, TQNT +11, MSFT +7, VIGN +4, BRCM, AHAA -2, SANM +3, -2, VVTV +2, -1 1/4, ARBA +10, BPA +2, MGG, NOPT +2 1/2, TEF, ZBRA -1 1/2, +1 1/2, -1 1/2, RSC, SPW +2, ADI. +4 1/2, HAE, SEIC, SLR +6, -5, BRR +2, NEV, CNG +1 1/2, ADTN +1 1/2, TERN +2, PIOS +1, UVN +2, DOV, PVY, D., MSFT +3, -1, DYN....

once again, remember, to form a "top" over time, a stock most often must jockey around, right ? this takes days and even weeks, as taught in my "Downside" booklet, re-read it please....that's one reason it helps to view these types of "bounces" in this section at times....

Again, we still need to see more stocks break below recent lows/necklines....hence the recent "1/2 pos.(ition)" sales in sec. (3), dig ? You are on your own, regarding buying Puts after "bounces" which occur in between NL's, which do not break to new highs, or do not break toppy patterns ! Remember, we either buy our Puts right up near each stock's High, or not at all....but you can still view their charts, to "see" previously formed/worked/aborted "PSYCLE sm" patterns, to hopefully Learn the Patterns from.

6) Now--- Here are Other, Fuller lists, of still-Depressed, Long Buys, near their recent Lows Only, for potential Rises towards resistance, always Diversified (w/close stops, when/if their basing or "EVB" patterns break down):

Be patient here, and do not "force" trades, or overtrade, just because, PSY-chologically, you "want" to have "something" to buy long....do NOT be "antsy", relax....let the patterns come to YOU....also, there may seem to be "a lot", or "fewer" stocks to review here, especially in the next two sections here....but that says how cheap many stocks have been at times, right ? View their charts, piecemeal, at least....Also, remember, we do NOT "chase up"....only buy the ones You prefer to choose, which are still near their lows, with stops for protection, i.e., in a "pension plan", one should probably not do the real cheapies, etc.

"Potential Longs, by Industry Groups, for Rotation":
some decent bases here, and many decent EVB's and double-or-triple- bottoms, (but, again, Not when/if any of these make new lows here, and, NOT if they are already "up", much, off lows, right ?):
NOTE: obviously, given recent pops, has gotten more difficult to find "depresseds still right near their lows", so keep that in mind....we'll sometimes pay an eentsy bit more, but will NOT "pay up" much.

note how "not great" this side of the marketplace is, lately....
Health-relateds (HEB, HMA, TXB, TCA, NHP, STE, IMG)
Prec.Metals (CCH, VGZ, CAU, DAY, KRY, longer-term, on bigger pullbacks only)
and, some Cyclical/Steel/Temp. Employment/Gaming, etc., stocks, likely, again, but ONLY after/on bigger pullbacks....
Internet-and-Online Broker-ralated (scary, but sexy, use close stops) TBFC, AGE, JBOH, NTBK, AMTD, BAMM, and more below, on pullbacks only, etc.
emerging groups ?: "depressed computer stuff" (like, maybe, CPU, MWHS, and, maybe, soon, even ODP, OMX, etc. ?), "Waste", "Athletics/Shoes", and, Foods ?, and/but most all Financials (Banks, Insur.) may need more work....

* The stocks on this next list, are also, still, Current, or, Potential, "EVB's" ("exhaustion V bottoms"), read that Booklet !):
Remembering ONLY to buy near their recent Lows (do not "pay up" much off lows), diversified, w/close stops....these, plus the stocks listed above, and the "Newly Boughts" in Section (3) above, comprise the "total" complete long-side buyable lists in today's market.

Note how many stocks there are on these lists....what I see, I share, for your benefit....as I have said countless times here, try to VIEW at least "some" of them, every day, for, say, 10 mins....do NOT try to view them all, at once.... since most remain on these lists for a while, hopefully you will know when they pullback to buyable levels, having seen their chart patterns before....

We are Also "Watching" --- as potential EVB's, or "basing" or "double" bottoms, near recent lows ONLY: adding,
*** as S.T., "EVB's": in no particular order, add, ABS, MGL, ORG, ALL, AET, WLV, HWS, SVI., ACL, AVS, FTN, BG, MAT, SKS, CMH, LRW, MYG, to, CIT, DME, AFC, ABK, TEN, TAP, EX, FTL, CVD, PZN, USL, CMA, HB, TAP, SNV, HCP, BND, TSN, (note, more new ones, "big names," and "financials"), to,

"repeats": JOB, PIR, BWL/A, TCA, TMO, TG, SYNX, FC, HLX, UNA, OMM, NTN, HIV, SEV, to, those listed in section (3), and those just above here, plus, DMI, CASY, UFD/A, VBAC, GDC, HEC, HNV, MSN, SAMC, XCL, still, most as "EVB's", with a few basers....

also "Repeating" recent, 'Longer-term-only' "watching" list: a real mish-mosh: adding, add, MUEI, TOY, KEA, SOC, AMD, MMG, TZA, HIB, WMI, OH, CTHR, IOM, to, BDX, AGE, AW, UNA, WIR, MSPG, BXM, CTX, CNB, CTK, STE, FNL, IHK, NTBK, as potential "EVB"s", and may base/bottom ahead....will let you know in sec. (3), as usual....some still need technical work....and/but most, only on pullbacks towards lows....and/but, not any of these above, when/if they make new lows or break budding bases/patterns....don't "force" trades....and be sure to do your 'fundamentals' homework on the lesser-known ones....

Remember, the last list, is primarily a "watching to possibly buy" list.... They only become Buys, when they appear(ed) in sec. (3) above, and/or when/if they decline towards lows and hold, yes ? That's why YOU must LOOK at their charts, over time, when you have a few minutes....How else are you going to learn the patterns ? This is a positive, not a negative....

**** The potential Longs above are chosen, First, by their EVB, or "base" technical chart patterns, then, I do do a "little Fundamentals research" on each, to make sure they are viable companies, with no "hidden time bombs"....

7) other, still Extended/potentially Toppy, "Puttables", near recent Highs Only, for potential Price Drops, using, Only, L.T., in-the-money Puts Only, Always Diversified, w/stops if patterns abort to the upside, for potential drops towards their 200 DMA's, at least
(NOTE: again, if they are already down appreciably from their highs, do NOT chase them down):
(re-read my "Downside/Puts" booklet): Fuller, Potential Puts list, by I.G.'s where practical, near their Highs, ONLY --- do NOT "chase down" much: note: this list supercedes all previous ones....these are the ONLY Puttables here, all others have been removed....

other "Techs/computer/software/media/internets, etc.", Puttables, are in two lists just below here....
**** others, and new ones: many more, added, TUES, CNXT, BJ, ALKS, AMGN, CSCO, ERTS, RCNC, ETEK, OCLI, PLCM, MCRL, GIC, MTG, SNE, HIT, UTR, to, CHKP, CLFY, CTXS, GOTO, INTI, DRTE, SMTC, XLNX, TQNT, AGN, AVX, CTS, FCX, MMM, CTV, VVTV, VIA/B, INTI, SPP, to, AA, IPI, ARA, MGG, DOV, VIGN, CNG, HOMS, INKT, LLTC, MXIM, PESC, SAWS, CCL, CXY, IVX, LD, MMM, PHG, QLGC, SDLI, TSI, VSEA, ARBA, ANTC, CLRN, JBL, SLR, SONC, ZBRA, ARC, DYN, CNG, WLM, MWD, SPW, TAM, INSS, MSFT, SANM, DOX, TLAB, AHAA, DST, ADVS, ECP, CDI, CLS, BC, VISX, VTSS, FDS, PEB, EXDS, SNPS, ACS, GE, KWP, PB, RNWK, SFX, ABDR, ADVP, AWRE, BVF, EL, PKS, from recent past NL's,

**** the Best Puttable Industry Groups: in no particular order, and, understanding we have already HAD some nice drops, and/or QSL's: Extended and at least Semi-parabolic: Energy, Health/Medical/Drug/Biotech, Computer/Internet/Software, High-PE Techs, Media, and most all Tele.-Commun., all near their recent Highs ONLY, w/close stops above their patterns....of course, many issues are already down now, so fewer "still near their highs", right ?
but, removed most "Publishing" stocks from potential "put" lists, just FYI....

8) "PSYCLE sm" Lesson for today:

VIEW THE CHARTS....SEE where the 200 DMA's are....LEARN THE PATTERNS/STAGES

NEW very brief LESSON: just one little example: note our predicted drop in "SUI." stock....now notice, the recent 'one-day, big, cathartic volume', AFTER the drop, as per my EVB concept, dig ? i.e., likely late stage 7 action, S.T., see it ? NO bottom yet, NOT a buy, just for your education, watch it from here....SUI. should flatten out over time, yes ? and, we cover any short sales/puts bought made at its top....The pattern never changes....

**** The following several paragraphs are in every NL:
I have been so busy, expending so much time/effort, researching, finding, and giving the ideas I do in each NL lately, and creating each NL itself, I have not had time to give many more "Lessons" here lately, nor to finish 3 more real valuable "Booklets"....FYI, besides all the previous Lessons you have hopefully gleaned from all my past materials, NL's, ideas, and my (7) educational Booklets, I re-ran "the seven sequential stages of my "PSYCLE sm", from my 12/7/98 NL, through the 12/28/98 NL....refer back to, and re-read, those section (8) lessons, any time....hope they helped....they remain available, on the web....also take this time to VIEW charts from section (3) and (6)....

NOTE: just a quick reminder, that, as per the green "Guide", a single stock herein may certainly be found, in 1, 2, 3, even 4, different sections of my NL at any given time....this is logical, and helpful for you....example: it may be in sec. (3) as a new buy at a certain price area, and, in sec. (4) if it has risen or fallen decently from the bought level, as I follow-up its movements for your benefit, and, still also in sec. (6) as a buy when/if it pulls back to its original suggested buy level....This is a GOOD thing for you, NOT a bad/confusing thing....A stock might have risen, from, say, $ 6 (sec. 3) , to $ 7 1/4 (sec. 4 follow-up), then pulls back again (sec. 4, next paragraph), and, when/if it pulls back towards $ 6 again, without breaking its original pattern, is remains a buy (sec. 6)....GOT THAT ? Finding such ideas among the "repeats" in sec. (3), iliustrates this helpful item....This is very simple: All suggested stocks remain actionable when/if they remain/return to original prices, in the future, provided their original chart pattern is still intact....period.

Remember, the time length of the full trip from stage 1 through 7, can be one year, or ten years, or 100 years, etc., depending on one's desired perspective....A stock can be in one stage S.T., and another stage L.T. But one cannot have "everything", that is, we try not to turn a S.T. position into a L.T. position, and we never even try for "potential 10-baggers over several years"....One must decide beforehand, whether one expects a S.T. trade or a L.T. investment....But at least knowing the normal, usual characteristics of each sequential stage, puts us way ahead of "the 95 %". I use 1-year and 2-year charts, period, because we seek 1-2-3-4-month patterns, holds, and moves, and NOT overnite, nor daily nor intraweek moves. Trade less, make more, lower stress, free-up time, etc.

IMPORTANT: people keep trying to "formula-ize/computerize" my "PSYCLE sm" process, which, as I keep saying, is a fruitless waste of your valuable time...."just get close(r)", and do everything else correctly....The KEY is just plain learning the simple VISUAL chart patterns for each of the 7 sequential stages in my "logo chart" on my webpage and on the front of every Booklet, then adding the "sentiment" nuances of each stage.

As I keep reiterating, It is also still better most times, to, 1) buy "some" stage 1 "PSYCLE sm" stocks, in depressed or EVB chart patterns, when their "news seems so bad" but their patterns show EVB's (and have occasional, small, cut losses), than to never do that at all....Because, historically, and as you have seen herein, any small, cut losses, will be more than overcome by larger % Gains, over time, off those EVB lows, when one properly Diversifies, and stays with it....and, to, always, 2) TRY at least "some" "Puts/options" the opposite way, near their Highs only, when/where suitable, than to never do any Puts ever....always diversifying properly, with close stops....

Remember, "PSYCLE sm" stocks tend to move much more INDEPENDENTLY of any/all "external" stuff, than "the 95 %" incorrectly believe....one does Not "need" "events" to happen, in order to exploit normal, probable stock price moves.... this is a Good thing....One Key is to have the strength to Buy, when there is a "scary story", provided the stock pattern is intact....Connectedly, realize, by nature, there is SUPPOSED to be no "sexiness" in stocks/groups, near their lows, in bases, nor EVB's....they only become "sexy", After they rise a bunch, right ? and, by then, it is/will be too late....One must buy into NON-sexiness, into NON-positiveness, into "fear", when the patterns are intact, right ? Also, buying PUTS options "the Psycle Way", can be viewed as just plain intelligent/logical, and proper, as just "insurance" or "protection", as well as for direct profit at times, yes ? The March '98 tops, and July '98 tops, and drops, have proven that yet again.

I also assume you have read the "Significant Disclaimers" paragraph, under my main webpage logo....I cannot infer that my future performance will always match my excellent, real, actual past track records, as each person will, obviously, have differing experiences with my output, and/or do/not do various things, properly/improperly, etc. Thanks for understanding. It is also assumed that you actually "VIEW" 1-and-2-year past Charts of stocks, with their 200 DMA's, BEFORE you "do" anything for real, and that you are aware of their recent highs/lows, for stops price levels, and past/future resistance/support. I am also assuming you have learned to eliminate the potentially hindering emotional "stuff" from the decision-making/stock-choosing side of your brain....