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Non-Tech : Dorsey Wright & Associates. Point and Figure -- Ignore unavailable to you. Want to Upgrade?

To: The Phoenix who wrote (5429)	1/25/2000 9:29:00 PM
From: Atin	Read Replies (1) \| Respond to of 9427

At the risk of attempting to discuss a subject I know little about I think if you want to make a case for time being a factor you have to go back to the origins of P&F and see how it was applied and measured... From John Murphy's "Technical Analysis of the Financial Markets" book, page 265-266: "... We'll look at the original method that relies on intraday price moves. Then we'll show you a simpler version of point and figure charting that can be constructed by using only the high and low prices for the market." He goes on to talk about the history of P&F and the first books that were written about it. John Murphy also references Tommy in his book as one of the important practitioners of P&F nowadays. Basically, the crux of it is that the original way P&F was done was on the trading floor, using intraday ticks. Then it was done using the daily high and low because individuals could do it at home by looking at the daily prices printed in the newspapers. Now that we have computers, it is easy for us to use all different types of intervals, depending on the person's need. And as far as it being just price movements, a chart that uses the daily high/low will miss many of the intraday moves (think of a stock going up a point in the morning and then down 20 in the afternoon, you won't see the down until the day after). It isn't that you'll miss it completely, it is just that you can't say it is only about price movements, time plays a part in what your chart looks like. And there was never any implication that intraday is better than daily charts. Different intervals for different purposes. Anyway, I'm off this topic and only replied because you addressed me -- let someone else answer from now on, or even better, just get off the topic or ask on the Point and Figure charting thread. Peace, -Atin