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Strategies & Market Trends : DAYTRADING FUNDAMENTALS Real Time Stock Picks&l -- Ignore unavailable to you. Want to Upgrade?

To: booters who wrote (858)	5/3/2000 1:01:00 PM
From: Eric P	Read Replies (1) \| Respond to of 871

Your DIGL is looking very good. I am showing the 200 MA at 41.3, Does that enter into your decisions. No, I don't pay much attention to moving averages. Primarily, my swing trades are strictly focused on chart patterns. I entered the DIGL short position on 4/28. Looking at the daily chart, you'll notice that on the entry date: 1) The stock was clearly in a downtrend on the daily chart, with lower lows and lower highs. 2) Within the context of this downtrend, the stock was moving higher during the past week. 3) The stock was preparing to close below it's open on 4/28 for the first time in a week, reversing the short term rally and indicating that the longer term downtrend was trying to reestablish itself. 4) In addition, the Nasdaq index was near the top of its recent range and was "due for a pullback". 5) Taken together, these things indicated a nice potential swing short opportunity. This trade would have been proven wrong if the stock was able to continue it's recent uptrend of the past week by taking out a prior days high. Therefore, the initial stop loss for this position was at a price of 75. Hope this helps, -Eric