You’ve Got Mail
Whether you call it an Internet company, a movie
studio or a entertainment conglomerate, the best description would probably be
that it is the 800-pound gorilla of all media. The odds are pretty good that America
Online
(
AOL |
Quote |
Chart |
News |
PowerRating) will be a tough competitor for every entertainment concern as
the future of online media evolves.
AOL was hit hard last year with the rest of tech
and Internet, but held up relatively well. After bottoming in January, AOL
bounced back and then seemed to retest those lows. With the Fed rate cuts, AOL
has been bounding back since. The stock recaptured its 200-day moving average
late last week and then pulled back on light volume.
On Wednesday, AOL rose 2.25 to 49.45 to close back
above its 200-day and looks poised to challenge its two-month high. I will be
watching to see if AOL can move to a new two-month high on increased
volume. If that happens, it might find support at its 200-day before its next
resistance at its January 2001 high of 57.10.
Till Thursday,