Lycos
Inc (NASDAQ: LCOS)
Market Call™ for August 25, 1999
Contributed by Mark Seleznov, TrendTrader.com.
The purpose of this Market Call section is to
educate readers in technical analysis patterns and indicators. As with all investment
information, you need to research information and consult your financial advisor before
initiating any strategies that are contained in Market Call.
Also, you must realize that as with all trading strategies,
opinions can change quickly depending on market conditions and developments.
This column tries to present historical examples, potential set
ups, and examples of entry and exit strategies.
Also, you must realize that as with all trading strategies, opinions can
change quickly depending on market conditions and developments.
This column tries to present historical examples, potential set ups, and
examples of entry and exit strategies.
Focus on Exit – Take what the market gives you, the market is
always right.
Over the past few weeks since August 10, we have seen some very nice rises
in stocks. This is a good time to look at exit strategies for stocks.
We know what support and resistance looks like and can draw trend line
across these key areas.
We have seen how a tool like moving average crossovers can help keep you in
a trend.
Let's look an exit strategy using Lycos, LCOS as our example.
LCOS was in a major downtrend from the middle of July.
During the July and July 10 panic lows, LCOS formed a bottom. The stock
moved up from 32 to 46 on Wednesday of last week.
Despite some very large gains over the days that followed, LCOS was unable
to break above that 46 � high in the past few days.
Today, August 24, 1999, LCOS again failed to make new highs and closed near
the low of the day.
I would exit longs in LCOS.
An aggressive trader may want to initiate a Short position at this time.
I would place my stop at 45 � on a Short position.
Chart courtesy of
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Call Information
Mark A. Seleznov is a General
Securities Principal and Managing Partner of Trend Trader, LLC, a NASD, SIPC broker/dealer firm located in
Scottsdale, Arizona. A professional trader for over 25 years, Mark was a Market Maker on
the Philadelphia Stock Exchange, a Retail Registered Representative, and futures trader.
Mark is an author and recognized expert in equity Day Trading. He conducts seminars in
Equity Day Trading and offers his firm traders training and support. If his firm holds any
positions in the public companies he writes about, it will be noted at the bottom of his
article.
Market Calls is a daily syndicated column on trading by Mark A. Seleznov, Managing Partner
of Trend Trader,
LLC. For information on obtaining Market Calls for your web site,
newspapers, or publication, contact Trend Trader, LLC at 602-948-1146
Disclaimer: Trading in securities may not be suitable for
all individuals. Consult your broker or other professional to determine your suitability.
This is not an offer to buy or sell securities. The advice given above is of a general
nature and should not be taken as a recommendation to buy or sell the referenced security.
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1998-2000 Tulips and Bears LLC.
All Rights Reserved. Republication of this material,
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Last modified: March 17, 2001
Published By Tulips and Bears
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