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No. of Recommendations: 0
Today: 4/14/2000 YTD

TheStreet.Com Internet Index (PHLX: DOT) -38.2%
Nasdaq -18.4%
S&P 500 -7.6%
DJIA -10.3%


JUICED K2K -10.5%

Death and taxes, what goes up, etc. I guess it had to
happen sooner or later. We finally joined the crowd
today, and crashed into negative territory with a
bang. Our juiced portfolio is worse off than the
standard K2K for the first time since January. Our
margin is up to 32%. Our internet screen has lost more
than half of its value YTD, and our total portolio has
lost more than half of its value since its peak in
March. We can only take solace in the facts that our
Juice is still ahead of Nasdaq for the year and is
neck-and-neck with the Dow, our standard K2K
remains ahead of all of the indices, and, believe it
or not, one of our new options is even up this week
(AMD-JR). Now I have the additional pleasure of
writing the big check for last year's capital gains. A
fateful day indeed. Here's to your health!

STANDARD K2K: Screens & Stocks

PEG-Overlap (13/RSW; w/pads; R1-7; L3; monthly) -14.9%

International Rectifier (NYSE: IRF) -6.5%
Scientific-Atlanta Inc. (NYSE: SFA) -19.8%
LSI Logic Corp. (NYSE: LSI) -10.1%

PEG (1-4; annual) 2.0%

Cypress Semiconductor (PHLX: CY) 37.9%
International Rectifier (NYSE: IRF) 19.3%
CTS Corp. (NYSE: CTS) -33.2%
Titan Corp. (NYSE: TTN) -19.6%

Plowback (1-3; annual) -19.4%

Veritas Software (NASDAQ: VRTS) -11.4%
Oracle Corp. (NASDAQ: ORCL) 13.7%
CMGI Inc. (NASDAQ: CMGI) -62.9%

Keystone 100 (1-5; annual) -0.1%

JDS Uniphase Corp. (NASDAQ: JDSU) -2.8%
Qualcomm Inc. (NASDAQ: QCOM) -35.6%
Oracle Corp. (NASDAQ: ORCL) 13.7%
Network Appliance (NASDAQ: NTAP) 19.9%
Siebel Systems Inc. (NASDAQ: SEBL) 4.1%

Spark (1-5; annual) -3.2%

Cisco Systems Inc. (NASDAQ: CSCO) 9.2%
Wal-Mart Stores (NYSE: WMT) -19.2%
Intel Corp. (NASDAQ: INTC) 30.4%
America Online Inc. (NYSE: AOL) -28.0%
Home Depot Inc. (NYSE: HD) -9.3%

JUICED K2K: Screens, Stocks, Options, & Margin

96% Standard K2K -5.5%

2% Killer Net Screen (1-10; annual) -57.2%

Commerce One Inc. (NASDAQ: CMRC) -68.7%
BroadVision Inc. (NASDAQ: BVSN) -51.4%
White Pine Software (NASDAQ: WPNE) -47.5%
CMGI Inc. (NASDAQ: CMGI) -66.0%
Vignette Corp. (NASDAQ: VIGN) -76.5%
VeriSign Inc. (NASDAQ: VRSN) -47.7%
Digital Island Inc. (NASDAQ: ISLD) -74.4%
Silknet Software Co. (NASDAQ: SILK) -65.2% Inc. (NASDAQ: INSP) -7.8%
Proxicom Inc. (NASDAQ: PXCM) -63.7%

2% MI Options Screen (1-10; quarterly) -7.3%

Advanced Micro Devices 10/00 C 90 (AMDJR) 17.1%
Scientific Atlanta Inc. 9/00 C 75 (SFRIO) -50.9%
Xilinx Inc. 9/00 C 90 (XLWIR) -46.7%
CSG Systems Intl. Inc. 9/00 C 65 (QGAIM) -10.7%
Elan Corp. PLC 10/00 C 47.5 (ELNJW) -1.6%
Cisco Systems Inc. 10/00 C 85 (CWYJQ) -34.4%
Nokia Corp. 10/00 C 50 (NZYJJ) -28.6%
Oracle Corp. 9/00 C 95 (ORYIS) -58.6%
EMC Inc. 10/00 C 155) (EMCJK) -50.5%
Motorola 10/00 C 170 (MQOJN) -25.7%

32% Margin n/a

General Background

The STANDARD K2K portfolio picks the best 20-stock blend of
Mechanical Investing (MI) screens based on after-tax past performance.
The standard K2K is comprised solely of growth screens, all but one of
which use annual holds (PEG-Overlap is traded monthly). For further
explanation, see MI Board posts 49696, 42407, and 51690:

The JUICED K2K portfolio adds three components to the standard
version: (1) 3% Killer Net Screen, (2) 2% MI Options Screen, and
(3) 30% margin (percentages indicate original shares of the total juiced
portfolio; current shares are indicated to the left of the categories

The KILLER NET SCREEN is an internet momentum strategy based on
selecting ten internet stocks with the highest 26-week RS and trading/
rebalancing annually. The MI OPTIONS SCREEN uses Sparfarkle's
6/3 option strategy with Peter Kuperman's selection technique.

K2K is an aggressive portfolio that requires an "unemotional", long-
term perspective. The "juiced" screens are highly volatile, and thus
are used only as small additions to the diversified standard K2K.

Regular updates will be posted.

Current Picks

To find current STANDARD K2K picks, see JackCade's latest "Screen
Rankings" post on the MI Board, or go to BDFinney's website at:

For current KNS picks, use the following procedure:
(1) check to see what is the top RS industry (Group Report 2) at:
If it is still the internet then
(2) get an updated list of internet stocks from:,1191,2521,00.html
(3) get prices for yesterday and 183 days ago from JJackel's
retriever program at:
(4) compute and sort by declining 26-week price change;
(5) pick the top ten; and (5) trade annually.
(6) if another industry has the highest RS, then you need to find an
equivalent list starting at (2) above.

For the most current MI Options, see Peter Kuperman's list at

Blended 14-Year Backtest

STANDARD K2K's 1986-99 backtest has a CAGR of 50%, GSD of
20%, and Ratio of 2.5. With 30% margin, the backtest statistics are
CAGR of 72%, GSD of 26%, and Ratio of 2.8. See MI Board post
57837 for detailed discussion and annual returns:

KNS has a 2-year 1998-99 backtested CAGR of 224%. See MI Board
post 53922 for a full discussion:

You can replicate the backtest for the STANDARD K2K using
Gritton's website at

Past returns of course do not guarantee future performance.

Please post any questions directly to me or to the Mechanical Investing
Board, since I read it more frequently than the Foolish Workshop Board.

Regards, Ben Goldman
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