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Strategies & Market Trends : Winter in the Great White North -- Ignore unavailable to you. Want to Upgrade?

To: marcos who wrote (2569)	7/11/2002 4:49:32 PM
From: Peach	Respond to of 8273

Thanks for the definition and for telling me about Cush. I went and read some of his messages... mostly over my head, but good information. You known Jorj only uses P&F along with other tools of equal or more importance. I am glad you have decided you like k.to too... makes me feel good.

To: marcos who wrote (2569)	7/12/2002 12:22:22 AM
From: Jorj X Mckie	Read Replies (1) \| Respond to of 8273

marcos, P&F charts use Xs and Os to represent stock movement. Each X or O represents a "box". The value of the box can change. So, when I say a 10pt box, I am referring to each X or O representing 10 points of movement. You would only use this kind of box size for something that has a large value, like the Nasdaq Composite index. For stocks under $5, I would use a .10pt box (a dime), for stocks between $5 and $10, I would use a .25pt box, from $10 to $20 I would use a .50pt box and from $20 to $100, I would use a 1pt box. With an index, I might look at anything from a 10pt box all the way up to 50 or 100pt boxes and various values in between. One important point is that the P&F charts are not showing a time element, only stock movement. So the concept of shorter term and longer term is not meaningful on a P&F chart. Just smaller and larger slices of stock movement. In the case of the chart that I looked at, since the stock was under $5, in order to see the stock movement, I needed to set it to .10pts (or a dime) so that I could get a feeling for the battle between buying and selling. Hope that helps, if you have questions, please don't hesitate to ask, JXM