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Strategies & Market Trends : Technical Analysis- Indicators & Systems

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To: SteelBlueIce who wrote (497)3/20/1997 9:19:00 AM
From: John K   of 3325
 
Hi Jerry, isn't there a limit to this?

" a 'strong' line would depend on the number of times price has come back to that line and for what duration. The more time and volume
spent, the better."

Agree that it takes a number of validations to establish the trendline, but after a while, if it still keeps testing the line it will break it. I think this is more true of horizontal lines then rising lines. I would not trust a very long horizontal trend line to hold.

John
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