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

To: Chris who wrote (108)	2/13/2001 1:40:06 AM
From: xxxBOBxxx	Read Replies (1) \| Respond to of 52237

Chris, Regarding your "not perfect trendline" on the compx chart- I think if you were to use a linear chart the picture might be a little clearer - maybe not exactly what your hoping to see - but much more usefull in terms of trading (and yes it does point to Jan lows over the next few days). In my opinion it's OK to cut through a day or two if there are good reasons to do so but it looks as though you are trying to get the line to fit the last two days of trading (which is often tempting but bad charting practice). Hope I haven't offended you - just remember reading that you you weren't too concerned whether a chart is log or linear. Good luck, Darrell

To: Chris who wrote (108)	2/13/2001 8:36:26 AM
From: Terry Whitman	Read Replies (1) \| Respond to of 52237

I think you have the NAZ nailed there. I've seen alot of futility with people trying to draw trendlines over the last several months. Suffice it to say- you cannot draw valid trendlines for a market that is not trending. The Dow and S&P are not trending, and have been in a trading range for the better part of 2 years now. The Naz has been in an obvious Down trend that your 1st chart shows- but it too may have stopped trending- and the recent trading range it has been in; bounded by the Jan low, and 3000, may be a longer term situation than anyone is predicting. I think it not only possible, but probable that the NAZ will join the Dow and SPX in a trading range for some time to come. The way to play a trading range is to buy and sell HORIZONTAL levels of support and resistance, not trendlines. Good luck, TW