Set the Controls For The Heart of the SUN Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Set the Controls For The Heart of the SUN

IQ 2.105

+2.9%

3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Dave Kosmayer who wrote (3)	3/23/1997 9:01:00 PM
From: Doug R	of 1156

OK... There are 3 parts to it. The setup occurs when there are 9 consecutive closes lower than the close 4 days previous to each. The day before the first day, though, must close higher than 4 days previous to it. There may be more than 9 and the closes must be lower, not equal. The setup is completed when the second part of the strategy occurs. The intersection is where the brakes have been applied to the freefall of the setup. The price has to close within the range of the trading 3 days previous. Now comes the countdown: 13 closes (no requirement to be consecutive) equal to or lower than the entire range of trading two days previous to that day. Day 13 is the buy signal. Now substitute the word higher for lower in the above and you get sell signals. 2 safety valves for entering a trade are waiting until you get a close greater than the close either 2 or 4 days earlier. If during the countdown a new setup occurs, the countdown starts again. A stoploss uses the range of the lowest trading day in the countdown. Subtract the range from the low to set the stop. Well, that's all there is to it. I hope you notice some good ones. Doug R

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next