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Strategies & Market Trends : Tech Stock Options

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To: The Jedi who wrote (40855)4/22/1998 6:51:00 PM
From: Tom Trader  Read Replies (1) of 58727
 
Kiri--thanks for the response re PL

What has your experience been as far as the length of time that these signals last--in other words, when a stock gets to the 80-87 level on the RS, does this constitute a signal that is good for days, weeks or months -- or is there any way of telling??

Also, given that sooner or later we shall see a market correction, would identifying stocks/sectors with a low RS, be the best from a stand-point of the stocks that are likely to cave in quickly and provide the maximum downside?

Is there a critical point when the decline of the RS would cause the stock to become a good shorting candidate?? For example you said that PL was looking weaker technically at 75 -- at what point would you say the/any stock is a good short? I guess what I am asking is whether there is an equivalent number on the short side just as 87 is the number on the the long side.

Please excuse the bunch of questions
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