Egghead Computer (EGGS) Message Board

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Technology Stocks : Egghead Computer (EGGS)

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To: HairBall who wrote (3553)	11/15/1998 1:13:00 PM
From: Wayners	Read Replies (1) of 8307

Yea it seems to me somebody might have had a problem with the formula before. I'm not at a computer with WoW on it right now so I'm going to have to take another look at it tonite. Essentially what the thing does is tell you that when the bollinger band width line is outside the bands and is coming back in that there is a strong liklihood for either consolidation or a breakout not too far in the distant future. Its kind of trend following too, as stocks seem to enter periods where longer term volatilities are increasing. You'll notice some other patterns with it too. Its very similar to ADX or bollinger bands on ADX. Seems to me one of the periods I was using was 12 days and the other one I think was 5 but can't recall off the top of my head.

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