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Strategies & Market Trends : Waiting for the big Kahuna

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To: Lee Lichterman III who wrote (34146)11/22/1998 10:16:00 PM
From: bob wallace  Read Replies (1) of 94695
 
Lee -

do you have access to back issues of TASC?

I use a timing model based on the advance to decline ratio called the "Titantic" system which is described in the May 1995 issue - the buy signal was first issued on 9/23/98, and then again on 10/19 - I say it was "strong" because it occurred twice and because the signal was stronger than the minimum required values

the system holds up pretty well in the past, generating more "unwanted" sell signals than "unwanted" buy signals. which is a convoluted way of saying it is pretty good on the buys....

the "strong" days appearing in the signal were:

9/23, 10/15, 10/16

less strong days used to complete the signal were:

9/18, 9/22, 10/19

in brief, to generate a buy,

-after a fall of 10% (or more) in the Dow, you need 3 days out of 4 which have an [NYSE] advance to decline ratio of 1.64 or better

it works, though not necessarily in a vacuum

Bob
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