Point & Figure - Beginners (Real Green) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Point & Figure - Beginners (Real Green)

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: leslie jo who wrote (13)	12/27/1998 11:19:00 AM
From: wizzards wine	Read Replies (2) of 322

Morning LJ, Looking at CKFR we see that the RS (relative Strength) is in X's on a sell signal...The sell signal here in RS just means that the issue has not exceeded the previous column of X's in the RS chart...If you look on the upper right side of the DWA charts, you will see are RS button...click on it to see the RS charts for any given stock. RS in X's means the this issue in out performing the general market and this is good. Now let's look at the main P&F chart... We see that in the October time period, it fell to a low of 6.0 then began it's climb...We did not get a buy signal until it broke the DT ( Double top) at 12.5 and gave a DTB Buy signal at 13 showing that demand was in control. Had it not made 13, 12.5 or 12 and reversed back down, the supply would have still been in control and one would not want to be in the stock. However the issue did give the buy signal with a DTB at 13 and continued up to 17.5. It then went into what we refer to as a triangle, notice the lower tops and higher bottoms until supply again took over at the DBS (double bottom sell) at 14 and fell to 12.5 before demand came back in to play. It then climbed in X's back to 16.5 for a TT (triple top) and got a TTB (triple top buy) at 17, a very strong indication of demand in control. Climbing from here to the BRL (Bearish resistance line at 22, it stopped at 21 just below...In many charts you'll find the an issue will climb right to the BRL and then not break through but follow it back down. This is why we want to see it violate or break clear of the BRL before initiating any positions just below the BRL... In this case, it's followed the BRL down to the last column of O's at 19.5 and finally just broke through at 19.5... However also notice that a new BSL (Bullish Support line) has not yet been drawn in from down below...This is because we went to be certain that this move is not to just move the BRL up by a couple of points. Here we wait for the DTB signal at 21 and really a break of resistance at 21 to 22 would give the confirmation and set up the New BSL. If it does not give a DTB signal at 21 but reverses back down, the first sign of trouble is at 16.5 for this would be a TBS (Triple bottom sell) signal. Hope that all helped a little, Later Preston

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next