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Strategies & Market Trends : Ask DrBob

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To: mistermj who wrote (41069)7/23/2001 3:44:31 AM
From: exeric2  Read Replies (1) of 100058
 
It was an interesting essay but I noticed something funny: on the second chart of the Nasdaq from Jan 2000 - July 2001 they draw an arbitrary trendline and then say, "this trendline has only been briefly broken twice, once following the initial bounce and once in recent weeks" and then draw an ominous conclusion. I could draw a similar arbitrary trendline and make any damn comment I want to just by how I draw the trendline. There are rigorous rules that define how you draw trend lines but the writer chose not to use them. It really makes me suspicious when I read something with a glaring error like that. It makes me think that even when there is plenty of evidence for their conclusion they still had to take self-serving shortcuts. That makes it suspicious in my book.
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