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Firstly, I'm not a day trader but a Fool investor.
But Nasdaq is up 10% for January and I think I would be mad to buy ATHM now even if $110 is not too bad, surely some "correction" is due soon.
Let me know what you think even if I'm very tempted to go for it as a true Fool or just place a limit order at $100.
Thanks,
Jules.
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<I think I would be mad to buy ATHM now even if $110 is not too bad, surely some "correction" is due soon.
Let me know what you think even if I'm very tempted to go for it as a true Fool or just place a limit order at $100.>

ATHM is now at 114, but if you think it's worth 100 basically you are trying to get about 10% more shares for the same amount of money. But if it goes up today to 120, and never comes back down, you are stuck with 10% less shares for the same amount of money. Or you could be left out all together, waiting for it to get back down to a reasonable price.

Excite closed at 105 yesterday, and each share will become 1.04 shares of ATHM if/when the merger goes through. So essentially, you CAN buy ATHM for $100 per share if you are willing to risk that the merger will go through. (100 shares of Excite will cost $10,500, and will become 104 shares of ATHM, giving you a cost basis of $100.96 per share).

IMHO, the merger will go through because of the synergy in ownership between the two companys.
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On 1/27/99 jarsac wrote:
I think I would be mad to buy ATHM now even if $110 is not too bad, surely some "correction" is due soon.

Maybe this will help:

Princeton, New Jersey, Jan. 29 (Bloomberg Data) -- At Home Corp. (ATHM US) was reiterated ``strong buy' by analyst Glenn T. Powers at Cruttenden Roth.

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