Doc,
<Since VVUS has never traded true to a chart...>
WRONG! If you believe that you ought to quit looking at charts or
learn a lot more about TA. Below are some figures from VVUS's last 4
times it reached bottoms compared to where it is now. This is only one
of many indicators to use. These numbers are Stochastic of RSI--NOT
simple Stochastics. The day lengths are 8, 21, 24, 55 respectively.
Date 8,5 StochRSI 21,13 StochRSI 34,13 STochRSI 55,34 StochRSI
11-11-96 0 1.01 0.51 5.06
5-13-97 14.39 17.78 11.63 11.80
8-19-97 3.46 10.75 11.34 41.45
11-12-97 4.3 7.47 2.41 16.27
These are on scale of 0-100 same as straight Stochastics, and oversold
is below 20. The 41.45 is not oversold as the stock was in a strong
uptrend at the time and this was a retracemnet only. So, VVUS is very
oversold, but could still come up only to 24 or so and sell off again
to teens and the 55,34 would be 10 or so. Stock has to break out of
its downtrend by going above about 25 before can say this is the
bottom. Doc, you've been crying Buy! Buy! Buy! all the way down, and
if anyone has listened to you, they're feeling the same pain you are.
Guess misery does love company, but you sure didn't do anyone who
followed you any favor. I'll Email you a chart in Windows on
Wallstreet showing the above clearly--and anyone else who wants it.
Regards,
Gary
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