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Strategies & Market Trends : Analysis Class for Beginners -- Ignore unavailable to you. Want to Upgrade?

To: Arthur Tang who wrote (1158)	8/1/2000 6:29:59 AM
From: Arthur Tang	Read Replies (1) \| Respond to of 1471

TA and MicroTA revisited? TA is drawing trend lines. Support and resistance levels are the first look. These levels should be qualified with 30,70, and 90% pull back support levels (not the lowest dips), and cost of market makers' shorts. Trend lines in general direction should be coupled with fundamental predictions, to make long range TA predictions reasonable or rather rational. Interpretation of other TA terms are used to fit the curve, past and present. They are mostly short term outlook to predict breakout or breakdown. It is much easier to see overbought and oversold than using moving average so many days to predict a change of the market. MicroTA is best for short term changes as the day develops. Intraday charting by the minute, you can see overbought and oversold by volume and price change. The spread change can tell you the market makers' inventory positions. You can pretty much see the handwritings on the wall. For small volume daytrading which does not upset the inventory(market makers' positions), you can scalp the market and market makers for some cash. Greedy large volume gambling will have your investment taken out by these sharks (our friendly market makers). I think at Atlantic City, Trump has ongoing orders to take out all $1000 bets (a slip of the tongue by an employee). If you don't know TA, which is technical analysis, this will simplify your understanding of technical analysis. Fundamental predictions mentioned are the fortunes of particular industries, such as wireless stocks as a group or semiconductor industry as a group. Market makers' inventory is their holdings of stocks and shorts(cash reserved to buy back stocks borrowed). Cash reserved is the liquidity in the market, if every investor is fully invested. Good luck on all you investments.