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Strategies & Market Trends : The Options Box -- Ignore unavailable to you. Want to Upgrade?

To: RocketMan who wrote (1434)	6/5/2000 7:30:00 PM
From: Jill	Read Replies (1) \| Respond to of 10876

Evil Knievel. We should probably call him SubMan (if you're rocketman, he's submarine man) Here are some nice Elder tidbits: Traders who researched the relationship between opening and closing prices for several decades found that opening prices most often occur near the high or lwo of the daily bars. Buying or selling by amateurs early in the day creates an emotional extreme from which prices recoil later in the day. In bull markets, prices oftne make their low for the week on Monday or Tuesday on profit taking by amateurs, then rally to a new high on Thursday or Friday. In bear markets, the high for the week is often set on Monday or Tuesday, with a new low toward the end of the week. Thats one reason I'm pleased at the downdraft this morning even tho we recovered. I'm hoping we're moving back to a bull pattern...last Thur & Fri seemed indicative of that. But we'll see. The closing tick of each bar (candlestick bar) reveals the outcome of a battle betewen bull sand bears during that bar. If prices close near the high of the daily bar, it shows that bulls won the day's battle. If prices close near the low of the dya, it shows that bears won the day. The distance between the high and low of any bear reveals the intensity of conflict beween bulls and bears. An average bar marks a relatively cool market. A bar that is only half as long as average reveals a sleepy, disinterested market. A bar that is two times taller shows a boiling market whre bullsand bears battle all over the field. Slippage is usually lower in quiet markets. It pays to enter your trades during short or normal bars. Tall bars are good for taking profits. Simple stuff--but he took the time to think it out.