The Enron Fraud - Charts vs.

Analysts

As Enron's stock broke support levels time after time on its way down into bankruptcy, Wall Street
analysts upgraded the stock, initiated a 'Buy' on Enron or reiterated their 'Buy' or 'Strong Buy'
recommendation 65 times! There were ZERO 'Sell' recommendations and just 10 downgrades!
NOT ONE ANALYST TOLD YOU TO SELL THIS STOCK!


Support Level 1 is broken - 9 Broker/Dealers reiterate 'Buy', 'Strong Buy' and 'Add' ratings
at $77 1 Broker/Dealer intiates a 'Long Term Buy', another a 'Buy'
9 Broker/Dealers downgrade the stock to 'Hold', 'Maintain' and 'Neutral'
4 Broker/Dealers still keep a 'Strong Buy' on the stock
0 SELL recommendations

Support Level 2 is broken - 1 Broker/Dealer downgrades the stock to 'Market Outperform'
at $71 20 Broker/Dealers reiterate their ratings. Lowest are 'Neutral' and 'Hold'
4 'Strong Buy' ratings still on the stock, 6 'Buys' and 2 'Adds'
0 SELL recommendations

Support Level 3 is broken - Enron CEO Jeffrey Skilling resigns!
at $45 0 SELL recommendations

Support Level 4 is broken - 1 Broker/Dealer reiterates a 'Neutral'
at $41 1 Broker/Dealer upgrades the stock from 'Buy' to 'Strong Buy'
0 SELL recommendations

Support Level 5 is broken - 0 SELL recomendations
at $35
Support Level 6 is broken - 2 Broker/Dealers upgrade to 'Strong Buy'
at $29 0 SELL recommendations

Support Level 7 is broken - 1 Broker/Dealer initiates a 'Strong Buy'
at $26 1 Broker/Dealer upgrades the stock to 'Strong Buy'
0 SELL recommendations

Support Level 8 is broken - 0 SELL recommendations
at $24
Support Level 9 is broken - 1 reiteration of 'Strong Buy', 2 initaitions of 'Strong Buy', 1 upgrade to
at $21 'Strong Buy', 1 'Buy' initiated and 1 'Hold' initiated
0 SELL recommendations

Deecember 2, 2001 Enron declares Bankruptcy!
at basically $0 2 'Buy' recommendations initiated AFTER the Bankruptcy filing!
1 'Buy' resumed, 1 'Upgrade' from 'Hold' to 'Add' - AFTER filing!
0 SELL recommendations

It would have been nice to know what the stock chart was telling you to do. If you listened to the
'analysts' you lost every dime you had in the stock. The Stock Chart gave you at least 8 signals to sell
this stock.

Knowing how to read a Stock Chart and identify Support Levels could have got you out of this
LOSER! At any price that you decided to get out - it was still higher than ZERO!




Source: Briefing.com