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Strategies & Market Trends : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: dennis michael patterson who wrote (25049)	7/8/2000 10:47:21 AM
From: John T.	Read Replies (1) \| Respond to of 42787

I saw Ralph Block's interview. That's what clued me in to look at the NYSE A/D line. I think Block's main points were (1) the uptrend in the NYSE A/D line since May 25, (2) the bullish divergence between the NYSE A/D line and the Dow (NYSE A/D line made higher highs even when the DOW had down days), (3) the DOW broke above the recent down trendline drawn across the tops of the 4/26 and 6/5 highs, and (4) there is a recent (7/3) MACD buy signal on the DOW daily chart. As a side note, the SPX and the OEX just had MACD buy signals on their weekly charts. The DOW is very close to a MACD buy signal on its weekly chart. I have a subscription to Jerry Favors' advisory service. I believe that all the conditions were met as of Friday so that Favors will advise his clients to increase their long positions from 40% to 60%. I'll have to wait for his Sunday update to be sure. My point is that if Jerry Favors is advising clients to increase their long positions, then probably other advisors are doing the same. This would be bullish because it would bring more money into the market on the long side. All in all, I think we're going to see at least a short term rally over the next week or so.