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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Casaubon who wrote (56535)	7/13/2000 10:30:00 PM
From: Fun-da-Mental#1	Read Replies (1) \| Respond to of 99985

Psychology of the exhaustion gap - how's this for a guess: Everybody who wants in has already bought in. They are believers and they are holding. Since nobody is selling, it gaps up. However those not holding the stock are skeptical and there are no new buyers, so the price starts to erode a bit. Suddenly those holding realise they are looking at a very high price that may not go any higher, and decide to sell. Sound plausible? Fun-da-Mental

To: Casaubon who wrote (56535)	7/13/2000 10:57:32 PM
From: bobby beara	Read Replies (2) \| Respond to of 99985

here is my attempt: exhaustion gap, the last buyers who have been hesitating to buy or the last sellers who have been holding out to sell, in a fit of emotion throw in the towel and do the deed. the exhaustion gap comes in wave five, breakaway gaps come in wave one and continuation gaps come in wave 3. the gaps off the may low in nasdaq were breakaway gaps, exhaustion gaps are only discernable in retrospect, but they usually get filled quickly and price breaks down from there. b