Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: ajtj99 who wrote (59878)	11/18/2002 8:53:54 PM
From: Shack	Respond to of 209892

I don't keep track of them but any triangle correction with a flat top would be a triple top. I mentioned this earlier today but pull up a weekly chart of the COMP and take a look at this level we are bumping up against. There is hard resistance in the 1400-1475 area. Look at the index pivot off this level in 1997-1998, then again in July 2001. Once we dropped below this summer, I think the COMP it signed its own death sentence. Now we are just retesting this critical level. If we do bust up on big volume and hold the breakout, I think the COMP would go A LOT higher (read 2K). But given the poor internals of this rally, I think you can forget about it.

To: ajtj99 who wrote (59878)	11/18/2002 8:56:47 PM
From: The Freep	Read Replies (1) \| Respond to of 209892

What about the triple bottom action at 1279-80 on the Naz on Oct 22, 23, and 29? Not as spread out as this 1426 area, I admit. . . . the freep

To: ajtj99 who wrote (59878)	11/18/2002 9:02:41 PM
From: leum	Read Replies (3) \| Respond to of 209892

"The failure rate at 15% for triple tops approaches the 20% maximum I consider permissible for reliable formations. To take a more optimistic view, there is an 85% chance that prices will decline by more than 5%. The average loss is 21% with a likely decline of only 10%. So if you are depending on the triple top formation to score an outsized decline, the probabilities are against you. The pullback rate at 84% is one of the highest I have seen. This means you will have another opportunity to either sell your holdings before the real decline begins or add to your short position. It suggests some hesitancy for prices to break away. One surprising finding about triple tops is when the price of the highest high in the third top is above the second top. Formations with this configuration have losses of 22% versus 17%. The difference are statistically significant meaning that the results likely are not due to chance." "Encyclopedia of Chart Patterns" pp. 590-591, Bulkowski. Leum, FWIW