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

To: Susan G who wrote (32949)	3/24/2002 1:19:24 PM
From: Chris	Respond to of 52237

thanks for the link, did not see until you mentioned. thanks.

To: Susan G who wrote (32949)	3/24/2002 2:02:20 PM
From: KymarFye	Respond to of 52237

Interesting set of charts - though the initial returns are pretty bad: A number of formations that appeared, at least to the chartist, to be potentially bullish on 3/21 seem to have broken down or at least to have retracted on 3/22. A handful seem to have just barely tripped the buy stops, then retreated, though have not yet tripped the stop loss points. It's too early to call any of them failures, as stocks that simply missed the buy stops and appear in danger of breaking down (TXN, SLR) are, at worst, missed shorting opportunities, and, after only one day, it's not at all out of the realm of possibility for them and all the more for stocks that tripped the buy stops, then came back some (QLGC, CIEN, YHOO, XLNX, MRK, MERQ), to rebound and fulfill. It can also be argued, however, that, given the overall market context of low volume, existence of unbroken, multiple long-term downtrends, and bearish relationship to major MAs, as well as specific problems with individual stocks - downtrends and other forms of resistance at or above indicated buy points - patterns that might otherwise appear bullish need to be traded with greater caution. You might require volume confirmation, for instance, and might reasonably expect secondary entry opportunities ("throwbacks") to appear. The problem is similar to the one that affected judgment of the Thursday rally and potentially bullish-looking patterns on the tech indices. To state the obvious, it's just not the ol' bull market anymore.