Strictly Buy and Sell Set Ups 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 : Strictly Buy and Sell Set Ups

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: CommanderCricket who wrote (2856)	3/18/2005 9:21:51 AM
From: chowder	Read Replies (1) of 13449

CC, yes there is a risk but it's important to understand when a hot sector is in the process of falling off. It was evident with the homeboys. They were a hot sector too and look what's happened to them. When price breaks below the 50 day moving average, that does significant technical damage to any stock or sector. I'm not going to jump the gun and assume KCS will pull back but if it sets a lower low from the last time it dipped below the 50, the trend is breaking down. Now, the 50 day moving average may hold, but let's take it a step further. Money flows are negative. ADX is showing the red line above the green line. This is saying that the trend is weakening. KCS needs to move here and now. If it doesn't, all indicators are suggesting any move below the 50 dma will be the real deal. Look at the weakness it showed yesterday. It had a nice gap up at the open and could not build on those gains. That tells me supply is coming to market. Maybe demand can offset that supply. We'll know in the next day or two. stockcharts.com[h,a]daclyiay[d20041218,20050318][pb50!b20!f][vc60][iut!Lc20!Ll14]&pref=G dabum

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next