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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (78709)	6/13/2002 10:33:57 PM
From: Hayduke	Read Replies (1) \| Respond to of 99280

Zeev do you have any visibility to the other side of the bottom... do you expect much a rally - will it be a bang or a whimper? <g>

To: Zeev Hed who wrote (78709)	6/13/2002 10:34:32 PM
From: ajtj99	Read Replies (2) \| Respond to of 99280

Zeev, technically the gap is from 1305.38-1311.70. I found it 2-months ago while searching for decent lows below the COMP 1387. At the time, it seemed to line up real nice with Fibs off the 2099 top and subsequent drops. When looking at the VIX and VXN yesterday, it was quite clear they were both behaving in a manner that was inconsistent with recent bottoms. The large expansion of lows (to 250) indicated this was a narrow advance concentrated in a few large caps. Normally when we get a good bottom, I've noticed the VIX and VXN drop in about a 45-degree angle on the chart. Yesterday they were not doing that. Anyway, it seems we've got a nice double top at 1526 COMP, and a close near the lows sets up a test (and likely failure) of 1474. I think we may bounce a bit at your 1450 level, however, as the adjusted downtrend line (off 1474) now gets there a bit sooner than the old one. I closed my calls near the open this AM for a small profit and went full puts at around NDX 1118. I was away all day, so I had to make a decision at that time. On my approximate 1-year anniversary of practicing T/A, it seems I'm getting a little better at this game.