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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: CBurnett who wrote (43632)	6/9/1999 1:33:00 AM
From: Scrumpy	Respond to of 120523

re: commentary on DDEQ Bollinger Bands (Indicator): Conventional Interpretation: The Bollinger Bands are indicating an oversold condition. An oversold reading occurs when the close is nearer to the bottom band than the top band. Additional Analysis: Volatility appears to be picking up, as evidenced by an increasing distance between the upper and lower bands over the last few bars. The market appears oversold, but may continue to become more oversold before reversing. Look for some price strength before taking any bullish positions based on this indicator. MACD (Indicator): Conventional Interpretation: MACD is in bearish territory, but has not issued a signal here. MACD generates a signal when the fast moving average crosses above or below the slow moving average. Additional Analysis: The long term trend, based on a 45 bar moving average, is DOWN. The short term trend, based on a 9 bar moving average, is DOWN. MACD is in bearish territory. Further, the market just put in a 45 bar new low here. More lows are possible here. Momentum (Indicator): Conventional Interpretation: Momentum (-0.31) is below zero, indicating an oversold market. Additional Analysis: The long term trend, based on a 45 bar moving average, is DOWN. The short term trend, based on a 9 bar moving average, is DOWN. Momentum is in bearish territory. And, the market put in a 45 bar new low here. More lows are possible. Money Flow (Indicator): Conventional Interpretation: Money Flow issues a signal when a new period high or low is reached in the market which is not confirmed by a similar new high in the Money Flow Index. The market reached a 9 bar new low here which was not confirmed by Money Flow. A bullish outlook is appropriate here. RSI (Indicator): Conventional Interpretation: RSI is in neutral territory. (RSI is at 38.35). This indicator issues buy signals when the RSI line dips below the bottom line into the oversold zone; a sell signal is generated when the RSI rises above the top line into the overbought zone. Additional Analysis: RSI is somewhat oversold (RSI is at 38.35), but given the 45 bar new low here, greater oversold levels are likely. Volume (Indicator): Conventional Interpretation: The current new low is accompanied by increasing volume, suggesting further new lows are ahead. Additional Analysis: The long term market trend, based on a 45 bar moving average, is DOWN. The short term market trend, based on a 5 bar moving average, is DOWN.The current new low is accompanied by increasing volume, suggesting further new lows are ahead. However, be careful to avoid selling an oversold market. RSI or MACD may be helpful here. Percent R (Indicator): Conventional Interpretation: %R is in oversold territory (%R is at 0.00; this indicates a possible market rise is coming. Additional Analysis: The long term trend is DOWN. The short term trend is DOWN. Don't be fooled looking for a bottom here because of this indicator. The %R indicator is only good at picking bottoms in a Bull Market (in which we are not). Exit short positions only when some other indicator tells you to. DMI (Indicator): Conventional Interpretation: DMI+ is less than DMI-, indicating a downward trending market. A signal is generated when DMI+ crosses DMI-. Additional Analysis: DMI is in bearish territory. And, the market put in a 45 bar new low here, adding bearish pressure. LarryWilliams Expert (Indicator): This twenty bar low is significant in that most fund managers sell into weakness. It is not necessary to be a seller right here as the added pressure can cause an imbalance in the market. I would look for a rally over the next few bars to then take advantage of a possible declining market.