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Technology Stocks : Protection One ALRM

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To: Instock who wrote (98)4/6/1997 1:39:00 AM
From: Doug R   of 146
 
Oh, Instock, by the way, I forgot to mention what to look for in the
RSI is not just indication of overbought/oversold. A relationship
with the stock price called convergence and divergence is very important.
Convergence is bullish, divergence is not. Convergence occurs when
the highs of the stock are moving down but the lows of the RS are
moving up. This is not happening with SOLP. Compare a 3 and 5 day
RS on SOLP with a 3 and 5 day RS on IFCI. The difference will give you
an idea of what I am talking about. IFCI is 1 21/32 (a stock under 4
that I like).

Doug R
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