Thomas,>I think from an earlier posting you said there was critical support line around $32, but that we would have to pierce $32 and stay there at the close for it to "count". At 4:22 Fidelity was reporting that AMAT closed at $31 31/32.<
The AMAT Bull Support is at $32. According to DW, it would take a move to $31 to actually bread the Support line since DW does not consider fractions. When a stock breaks the support line it normally goes lower, but not absolutely. Amat broke a double bottom at $34. If it breaks the support line only the bears and bull (supply vrs demand) will know. IMO, that is why this site adds tremendously to our data. We have very experienced investors on this site.
Last week I remembering reading a post that a threader, using his McClellan Oscillator, was projecting the market lows from March 23-April 4, 1998 citing the position that the corporations were buying stocks for the 401-K Plans and IRA plans. This sounds reasonable since it is tax paying season.
I am awaiting the DW Bull % which will be out Wednesday Morning to give us more of an indication as to what is going on. I also recommend that threaders of this site refer to the Point & Figure Charting site, where P&F Madness, Tom Dorsey's Intern gives us additional feedback. Tom Dorsey, monitored by P&F Madness, additionally has a Dorsey Wright Q & A and a Research site.
Hope this answers some of your questions!
Regards,
Paul V. |
