Safeguard Scientifics SFE 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.

Technology Stocks : Safeguard Scientifics SFE

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: michael r potter who wrote (2500)	4/7/1999 4:14:00 AM
From: wellab1	Read Replies (1) of 4467

Bullish SFE's chart patterns For some technicians the starting point in picking stock is a "chart pattern recognition method". I went through some of them and I can not decide using my unexperienced eyes which pattern fits best latest SFE charts.Could you help me? 1.PARABOLIC CURVE PATTERN-this one fits SFE 1 month chart although not ideally. It is the most highly prized and with biggest predictive power pattern.It can yield biggest return in the shortest time. The formation is step -like with parabolic trend line drawn under the chart from base to the highest point I wish I can point you to some page with such a powerful picture. --the long base is a channel between $35 to $ 45 till March 12 ---first base (step ) is on $50 (+25%)and down a little on profit taking around March 12-15 ---second base is on $ 60 (+20%) and bigger profit taking pushing down to $55 March 16-19 ---third base is on $ 67-68 on a longest (2 weeks ) horizontal channel.This base is most deviated from the textbook with sharp upside to $ 74 and sharp profit taking correction to $58.Assuming the level of $ 68 as average or most durable during this time -it is + 13% from second base ---fourth level is just forming today at $76 (+12%) According to technical guides around base 3 -4 which is usually in the middle of the parabola the stock can double from this point in the shortest period of time.It can take few more bases. 2.THE FLAG AND PENNANT PATTERN This pattern applies to those relatively quiet periods of "basing"-between jumps and represents pauses in a dynamic stock.Volume dries during pause and increases during breakout. Technical research shown that those patterns are the most reliable CONTINUATION PATTERNS. 3.CUP AND HANDLE PATTERN On a week chart SFE shown better variation of this pattern - missing most of the left wall of a cup .There was no corrective action jet after a nice advance.This look like less applicable pattern to SFE.The week chart is rather part of pattern one. Pattern (1) complemented with (2) fits the latest SFE charts and both are very bullish.Although I am not sure they can be applicable to such a short period of time.What do you think? If technicians noticed this stock then by their book this is the latest time(third formation break and the middle of the parabola) to jump in before major advance . Generally very reassuring but I prefer a little more "fundamental"-my back door theory (see:10 reasons......) and comparative method Links to above patterns could have replaced 1000 words Wellab

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next