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To: Gottfried who wrote (1552)8/3/2002 2:55:26 PM
From: Return to Sender  Read Replies (2) | Respond to of 13403
 
I just looked over the BTK on a PnF basis trying to make certain I had not made a mistake shorting HGSI. The BTK has a high pole warning:

stockcharts.com

High Pole

X
XO
XO
XO
X XO
XOXO <-- high pole warning (more than 50% reversal)
XOX
XOX
XO
X

The high pole warning is given when a chart rises above a previous high by at least 3 boxes but then reverses to give back at least 50 percent of the rise. The reversal implies that the demand that was making the prices rise has given way to supply pressure. The pattern is a warning that lower prices could be seen in the future.

RtS