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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: WaveSeeker who wrote (115599)	10/25/2000 5:59:52 PM
From: Jenna	Read Replies (3) \| Respond to of 120523

The Long and Short of it especially the intraday chart. Those spike highs for the most part usually resolve themselves to the downside on the next bar. And uncannily, it does so usually in the 10:25 to 10:35 reversal session. So you can get a 'signal' at 9:50 and have it last approximately until 10:10 (if you are lucky than through 10:25) and for the most part its DIFFERENT than the open trend, in some cases it STRENGTHENS the opening DOWNTREND like CIEN, JNPR, MMCN, VRSN, JDSU today.. and the downtrend is stronger. In the reverse the biotechs and pharmaceuticals were STRENGTHENING their own uptrends and providing long opportunities (i.e. GILD, TECH, IMPH etc. So you are long one sector and short another and profiting from both sides instead of trying to go long the techs, and having every entry backfire by the next bar. Sure there are overlapping patterns but if you observe carefully they almost always occur in the 'dead zone' between 12:00 and 2:00 Here are your errors. By 3:00 if the downtrend is strong, at 9:50 the chances are great that this downtrend will continue (many trends in the first reversal session are continued into that 3:00 period).. You might substitute wish fulfillment, grabbing falling knives, in an attempt to call a bottom, but you usually get cut. Knowledge in advance of historical price patterns will always help, but even then, a hair trigger on the intraday chart can be reversed if you don't take the entire market perspective into consideration. I shorted MCDT correctly but covered precipitously thinking it might be reversing, but then it dropped more.. These are only a few stocks in that 'LIMBO' land between correction and recovery. Fortunately, most of our stocks are pretty clearly UP or DOWN and if there is a doubt, hold the SHORT POSITION longer. The ONLY ERRORS I'VE made in the last 3 weeks was in covering a short position too quickly. Now that I'm sitting on my hands more and letting those bearish flag formation go by without a glance its gotten better. If you can't short, than its really difficult because its like half the day you are doing nothing.. eventually ennui sets in and you make errors. By playing the long and short you milk every play and even if you don't catch the bottoms and tops exactly the AVERAGE is on your side.. So I got 70% of a MCDT short or 75% of a CIEN short.. or even 30% of a VRSN short.. but when we go long we add percentage points.. Its better than waiting to go long and getting your 'gambling machine' to register "TILT" at every play and "Your Strategy is Wrong, Please Try Again Later"