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To: MonsieurGonzo who wrote (6764)9/16/1999 12:21:00 AM
From: Berney  Respond to of 11051
 
MG, Re: Diamonds

My best guess of the near-term downside support is 10,685. I've drawn trend lines all over the daily and weekly charts and the line I like best connects the daily dots on 5/20, 6/7, and 6/18 as resistance and 9/2 and some other dates as support. In addition, I show one of four weekly trend lines in this area.

If 10,685 were to break, I agree that down is a ways below. I show a lower weekly trend line at 10,050, which I also have as the 50 week EMA.

The real problem is that the sideways movement since April has us below the lower trend line on the monthly chart that was established in the up trend since early 1995. It also broke the lower trend line since last September and we now have some heavy resistance about 11,150. I show near term resistance about 10,920, which corresponds with your +/- 10,950. Seems that it is probably not healthy to break monthly trend lines.

Just a View from the Swamp

TB



To: MonsieurGonzo who wrote (6764)9/16/1999 8:44:00 AM
From: Trading Machine  Read Replies (1) | Respond to of 11051
 
RE:Diamonds are a girls best friend (especially Madam G)gg

Steve, everyone in this business knows that I am notoriously bad at two things; spelling and trend line analysis!g

But, if you r e a l l y wanted to play diamonds and couldn't find something better to do, I would suggest a buy at 107 5/8 with jumping out point at 107 if it breaks support. All the charts tell me that it is probably going to break support and go to 104 1/4 for a brief visit before going back up.

This is the view of a true bozo trader that has never traded DIA before and has not made a study of it! So this kind of information is usually worth what you pay for it! GG

PS: I like TBs analysis better.

CU TM