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Strategies & Market Trends : Point and Figure Charting -- Ignore unavailable to you. Want to Upgrade?

To: Tommy Dorsey who wrote (21491)	6/20/1999 12:16:00 PM
From: Ms. X	Respond to of 34813

Update on the DWA stock contest. I wanted to highlight the top 5 portfolio's in the first Dorsey Wright and Associates Portfolio contest. This is the first of many and it has done extremely well. 300 contestants entered but these 5 are far above the pack. With the Dow up 2.4 percent since the start of this contest, you will see these have out performed the Dow and S&P by considerable percentages. We'll take a look at the stocks picked per portfolio and some charts showing entry levels. Included in one portfolio will be an interview with the participant. Top Portfolio - Our own X-Joe-O! We are very proud of him and especially since he is new to PnF! See, for all those newbies out there that thought this might be difficult to learn... Joe is testament that it can be done and done very well! His picks. CNXT Bought at 38.5 Gain 25.1% ORCL Bought at 25.5 Gain 22.8% GNET Bought at 98.438 Gain 21.0% UAL Bought at 66.5% Gain -6.1% PFE Bought at 106.375 Gain -15.5% Portfolio Gain 20.7% CNXT, his biggest gain, was bought in an area of consolidation above the BSL. Since then, it has broken out of all areas of resistance and rallied to the top of the trading band. It continues a very nice uptrend with the RS in X's and the sector, Computers, in Bull Confirmed and in X's. ORCL was bought when it pulled right to the BSL after consolidating and holding support at 23. Since then it has broken a spread triple top and rallied to the top of its trading band. ----- Portfolio Two: This portfolio has every pick in positive territory. Mr. Clark is a student of DWA attending one of the broker seminars in Richmond, VA. His picks: ORCL Bought at 25.5 Gain 23.4% LSI Bought at 37.5 Gain 19.9% CVG Bought at 18.875 Gain 19.4% WCOM Bought at 84.250 Gain 13.1% GPS Bought at 64.813 Gain 18.2% Portfolio Gain 17.7% An interview with Mr. Clark. Congratulations! You are in the Elite Top 5 of stock pickers for the third week of the Dorsey, Wright & Associates Stock Picking Contest. Your hard work has paid off. In an attempt to keep everyone up to date on the status of our contest and the current leaders, I would like to ask you a few questions regarding your picks. So, here they are. I'd love to get your responses so I can report to the masses on Friday afternoon. Have a great weekend and good luck with the rest of the contest. 1. Did you utilize fundamental information in addition to technicals? Yes. It's critical to use both. At one point in my career, I tried to use fundamentals alone. The results were not good, and the reaction from my clients was predictable. After that I tried using the technicals without the fundamentals. The results were just as bad. Once I learned to combine the two, the results improved and my clients were happier. 2. How did you choose the five sectors? All five sectors were in a column of X's on their bullish percent charts, and showing good momentum. Since the contest was only 6 weeks long, I wanted to pick sectors that had good momentum and Relative Strength readings. 3. Was Relative Strength a component in your sector/stock picking? Absolutely. All the stocks have positive relative strength and all but Oracle were in a column of X's on their relative strength charts. 4. Finally, what were the deciding factors in choosing your five stocks? I chart about 100 stocks by hand every day. I've been doing this for about 5 years. Charting by hand gives me a "feel" for the market. Trends tend to unfold right before my eyes. If I look at the charts on the net, I don't get the same sense of direction I get from charting by hand. Most of the stocks I picked had pulled back to areas of support and were showing good relative strength. The odds favored them moving up in price. The one exception was Convergys. CVG was a spin-off from Cincinnati Bell. It's been consolidating for many months as the "widows and orphans" who received the stock in the spin-off unloaded it. Spin-offs typically do well after those who received the shares are finished selling. Since the stock was still in the consolidation range, I was not sure it would break out within the contest period. But a review of the fundamentals suggested the stock might be ready to break out. The chart, while still stuck in its trading range, was showing a series of higher bottoms, and had positive relative strength. With great fundamentals, and improving technicals, it seemed inevitable that the stock would break to the upside. I guess I got a little lucky that it happened so quickly. Next three portfolio's in a following post.

To: Tommy Dorsey who wrote (21491)	6/20/1999 1:31:00 PM
From: Lost1	Read Replies (1) \| Respond to of 34813

For the Daddy in all of us.... We thought we were growing into the right types, Who new all the answers and smoked the right pipes. Then one day we chose to share our lives with others, It couldn't be too hard, we all had good mothers. The change that would come to us was not overnight, It seemed easy enough to distinguish wrong from right. Once off on our Journey the answers don't come, At least not as easily as you're told by some. This gift we embarked upon has no other peer, There is no stronger feeling than the Love and the Fear. As every Daddy since time must have learned, The true value and meaning of Father is earned. As hard as it is and as frustrating too, This Daddy would never chose one minute to redo. Allowed to blossom and spread out and grow, The Child will one day show Daddy the way to go. The sacrifices given and the tears we must shed, Are all long forgotten when we watch them in bed. You know, late at night, when they don't think you're there, That magical moment when everything's perfectly fair. They tell us it's hard work and the money's no good, But would any of us trade anything or change it, even if we could? I submit to all of you here on this special day, There is no better word than Daddy and there is no better pay! Happy Father's Day, Kirk