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Strategies & Market Trends : gem-x's incredibly accurate Elliott Wave forecasts. -- Ignore unavailable to you. Want to Upgrade?

To: KymarFye who wrote (361)	8/12/2001 3:01:43 PM
From: eichler	Read Replies (3) \| Respond to of 2290

Hey Kymar, Great to have you hopping on board for a ride on the gem-x train. Kool conductor, friendly passengers and great vibes I hope will ensure your safe and enjoyable journey! A great big welcome! Great discussion on the E-Bay chart. Of particular interest to me is the daily chart with seemingly opposing characteristics: the broken uptrend with yet to be visited fib retraces below at 55 (38%), 50 (50%), 45 (62%) and the falling wedge or triangle price consolidation pattern off the high of 6/25. The first feature ominously pointing downward with lucrative targets below supported by negative indicators on the daily; second, the falling wedge/triangle pattern (usually bullish!) suggesting a ST break up supported by the oversold indicators on the 60 minute timeframe. Here is the view of the daily and "fib-grid" showing the targets below delineated in the above paragraph... home.earthlink.net high-lighting the falling wedge/triangle (bullish implication). home.earthlink.net superimposed fib-grid on close up view of daily falling wedge with target of 63.80 (38%), 65.25 (50%), 66.70 (62%). Measured from 6/5 high of 71.29 and 7/11 low of 59.21. home.earthlink.net So, using all the resources from our astute market watchers, we can assemble the following potential scenario. We have our GA, FA expert I-Mann thinking we are due for a small bounce supported by the view of the 60 min chart and oversold indicators and further supported by the possibility of a ST rally on the back of the compx double-dojis and support line of which it would be reasonable to expect ebay to participate to some extent. We have our fib targets above @ 63.80, 65.25, 66.70. Also, we still observe the bearish implication of the uptrend break on the daily and ugly look of the chart to expect an IT deterioration of price (at some point soon but perhaps not immediately!) We have our fib targets below of 55, 50, 45. The negative look of the daily confirmed by our chart-watching TA fools of myself, Mish, and Kymar impressed by the potential profits dangling below warns us not to become enamored with the ST target potential above. So, it would seem that modest profits are available above in the ST, while from the IT to LT, short positions at higher price entries (allowing for ST rally- hours, days) should also prove profitable once the next round of downward action rolls around. In conclusion, if any of us have learned anything, we know that nothing is ever as easy as it appears. The short play looks like easy money...but from experience we know that there will likely be bullish price action to scare out the shorts. And we can also expect that bullish action to lure in the longs will likely be met with the eventual rug-pulling and conclusion of the negative chart pattern trend-break and re-test of lower prices. Really looking forward to the mutually beneficial results I think will be achieved with the great collection of minds being attracted to this thread! Best to you, Eichler Comments, refinements, opinions, criticisms welcome....we are here to share and learn... ********************************************************* P.S. GEM-X !!!! Could you do a wave count of the E-Bay chart and what you think might be in store coming up? The more info considered, the better! TIA