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by 10/19/2000 9:20 AM
Stocks quoted in this article:
Conexant Systems (CNXT – 26-5/16) announced late yesterday that it expects revenue to fall as much as seven percent in the current quarter from the three months ended September 30. In addition, this maker of computer chips for communications equipment posted fourth-quarter earnings that met Street estimates of 18 cents per share on Wednesday.

This morning, CNXT was downgraded to "buy" from "strong buy" by a brokerage house. The stock is poised to gap more than two points, or over eight percent, lower at today's opening bell.

In yesterday's trading, the shares slipped greater than seven points, or nearly 22 percent, in the red to reach to its lowest level since mid-June 1999. Since logging a near-term intraday high on September 14, CNXT has conceded 52 percent, prompting a bearish crossover of its 10-day and 20-day moving averages. The security is also below all of its key intermediate-term and long-term trendlines.


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by 10/18/2000 3:31 PM
Stocks quoted in this article:
Gap (GPS – 21-3/4) was upped to a near-term "buy" from "neutral" this morning by Merrill Lynch (MER – 58-9/16). The brokerage firm kept GPS at a long-term "buy." In response, the stock is currently ahead by more than two points, or just under 13 percent. This upswing has carried the equity above its 20-day moving average, a trendline it last closed a trading day higher than on September 14. However, the shares are still trending beneath all of their key intermediate-term and long-term moving averages.

In GPS's options pit this afternoon, 7,434 contracts have crossed the tape on the October 20 call. These are likely new positions, as the option has open interest of just 898 contracts. This in-the-money strike, which will expire after Friday's closing bell, is presently one of the most-active call contracts on the CBOE.


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by 10/18/2000 3:29 PM
Stocks quoted in this article:
Late Tuesday, PeopleSoft (PSFT – 41-3/4) revealed third-quarter earnings of eight cents per share, which exceeded Street predictions by a penny per share. In reaction to this positive earnings surprise, the firm has been upgraded today by two different brokerage houses, moving from "hold" to "buy" and from "market perform" to "market outperform.

The security is up nine points, or more than 27 percent, in late-afternoon trading. Since its September 26 intraday bottom, PSFT has advanced by greater than 64 percent, using cohesive support from its uptrending 10-day moving average. Today's upward momentum has propelled the shares to their top intraday level since late July 1998.

On the options front today, 2,127 and 2,391 contracts have traded on the October 32-1/2 and 40 calls, which has open interest of 6,501 and 3,344 contracts, respectively. What's more, the in-the-money November 40 call has seen volume of 1,087 contracts on open interest of 543 contracts.

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by 10/18/2000 2:43 PM
Stocks quoted in this article:
The GSTI Multimedia Networking Index (GIP – 562.4) has fizzled by more than 13 points, or over two percent. The GIP has dipped back below its descending 10-day moving average with today's weakness. Since its near-term intraday high on September 1, the index has stepped back by nearly 22 percent, encountering stingy overhead resistance from both its 10-day and 20-day trendlines. The GIP also has been turned lower this month by its newly descending 10-month moving average.

Leading index laggards this afternoon are ADC Telecommunications (ADCT – 22-9/16), down 15.6 percent; Redback Networks (RBAK – 124-3/8), down eight percent; Phone.com (PHCM – 86-7/8), down 7.7 percent; Scientific-Atlanta (SFA – 49-7/16), down 6.7 percent; and Avanex (AVNX – 98-1/4), down six percent.

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by 10/18/2000 10:38 AM
Stocks quoted in this article:
The PHLX Forest and Paper Products Index (FPP – 241.69) is serving as a safe haven amid this morning's broad-market bloodbath, rising nearly three points. The FPP attained low levels not seen since mid-October 1998 earlier today before rebounding. The index, though, remains beneath all of its significant moving averages.

Top FPP performers today include Boise Cascade (BCC – 23-1/4), up 4.7 percent; Willamette Industries (WLL – 27-3/8), up 4.7 percent; Temple-Inland (TIN – 36-1/16), up 3.2 percent; Weyerhaeuser (WY – 37-13/16), up three percent; and Mead (MEA – 22-1/2), up 2.5 percent. This morning, MEA reported third-quarter earnings of 61 cents per share, besting brokers' forecasts by four cents per share.


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