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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: Dan Duchardt who wrote (10570)4/29/1999 12:10:00 AM
From: Hectorite  Read Replies (3) of 14162
 
Dan, Herm Re: HWP

I read Herm's reply and played with the settings on the TA charts as you did, Dan, and pretty much observed the same thing: still seems to be topping to me. But the real thing I wanted to get at was, what factors should one think about when trying to decide if you "believe" what the chart is telling you. I listed some possibilities before, but the were mostly subjective things like "sentiment" which does seem to have turned in HP's favor. Sure, in the last couple years 12 day RSI above 72 or so has always signaled a near term reversal. That doesn't mean it will continue to work that way; the company is entering a bit different environment. Are there quantitative parameters one can look at to add or subtract confidence to the simple chart reading we've been talking about? Herm, the table of money flow you provided is an example (where do you get those by the way?) Anybody use other "helper" indicators?

F.
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