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Strategies & Market Trends : A.I.M Users Group Bulletin Board

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To: Steve Grabczyk who wrote (13913)12/11/2000 6:36:32 AM
From: rgammon   of 18928
 
Steve,

The theory says with a $10,000 PC, resistance (SAFE) is $1,000 (or 10%) and min trade is $500 (or 5%). You reversed these two figures, the result is still the same. As PC grows, you will want to keep the 15% total. Start by increasing resistance and keep on increasing until it gets to 10%. Then as PC continues to grow, adjust min trade so that it is 5%. As your stocks cycle, you will eventually get to $2,000, then $3,000, then $5,000 min trade sizes.

Robert
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