<<How good is the INPATHIQUE system?>> Depends upon the analyst and the stock.
Depends upon the analyst:
- There is no computerized system capable (today) of finding and projecting the INPATHIQUE patterns. Only the human brain can "see" the patterns. The Step by Step book which INPATHIQUE provides walks you through the steps of finding the patterns and what clues to look for, but the bottom line is it is manual effort of the individual. Being human, you can over look clues that are starring you in the face. You can try to fudge a line to make it fit (INPATHIQUE's rules are precise and must never be fudged).
Depends upon the stock:
- It is of questionable value on exploratory stocks where the value of the company can vary depending upon whether they have gold or not. I made money on Bre-X using INPATHIQUE, but it could not predict no gold in the ground.
Penny stocks are no good (and half cent swing on a ten cent stock) is toooo coarse for any accuracy.
The majority of volume must be influenced by trading computers.
Long term patterns are better as their are more data points and higher accuracy. Thus, the system is better for the buy and hold type investor although I do well with two and three month patterns such as the current bear which IBM is just completing.
The likes of IBM (and the DOW index as a result) are challenges because they trade on multiple markets and in varying currencies. INPATHIQUE is showing the impact of the trading computers on say the New York market, but the other trading computers in other markets magnify some effects and dampen others. This makes it very difficult to find clues and project accurately.
<<noticed several "corrections" >>
- There was a range of permitted trends for IBM's bear. What you saw on the web site was the most probable given the clues that had been provided by trading ranges to-date. On my own charts, I show the range of permitted trends that still fit the rules. If I can still make money regardless of which trend it ends up following, then I have a money maker. What IBM looks like it is going to do tomorrow has as far as I know, never been seen before. A theoretical INPATHIQUE pattern. I had not allowed for it when I shorted the stock and will lose money if it actually takes the very bullish trend of the next bull instead of a normally expected trend. If I cash out tomorrow, as I promised in an earlier post, I will advise and yes, I will eat crow although given the same situation again, I would probably still do the same thing. I made a lot of money on IBM and will give some back if I must.
<<easy to build a system to "predict" the past>>
True, but here, each of the bear and bull INPATHIQUE patterns begin and end precisely at predefined points according to the rules of INPATHIQUE Analysis. I don't believe we are talking the same thing OR if we are, the statistical pattern once found is projectable. Perhaps it is, especially when it is computers that generating the patterns.
<<how can the system account for the 2nd Q earnings report?>>
The system isn't. The trading computers of the institutional investors are the ones that are predicting it. They are fed every piece of information and influence they can lay their hands on. All the data, influences their trading recommendations from day to day. They determine when the price is getting too high at the present time or too low and cause trades to take place to take advantage. That limits the high-low price range from day to day.
INPATHIQUE Analysis plots that effect on the price range and projects it into the future to predict what they are going to be doing to the stock's price tomorrow. If you look at the charts, you will see a large range of permitted prices that the stock could trade in. Often, you cannot predict the exact price range for tomorrow. Other times its as if you were running the institutions trading computers. There are zones of great resistance to the price, those are predictable and so is their influence. If you look at a number of the charts, you will see some of these lines and notice how the price has reacted to them. The location of the lines was determined first. Then the price follows them. Those lines were determined by the action of the stock's price at predefined points in the past. All predictable, all documented in the Step by Step Guide that INPATHIQUE provides.
YES - IBM is going to start a bull-run. The Nadir of the Bear and hence the Bull is VERY near. I just hope it doesn't take off tomorrow like its bullish attitude would suggest it is going to do. |
