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Strategies & Market Trends : Raptor's Den II -- Ignore unavailable to you. Want to Upgrade?

To: da_cheif™ who wrote (225)	4/17/2003 10:56:58 PM
From: velociraptor_	Read Replies (3) \| Respond to of 3432

My point though was that the larger the time frame you use, the more you shift the bias of the A/D line to the positive because you smooth out the underlying corrections. A weekly A/D line will make just about any market look bullish. The daily does reflect amplitude and in fact much more so because it does not smooth out the corrections and thus becomes more sensitive to what the market is really doing. Even then, the daily will have some bias as well. My bottom line was that the A/D line cannot be used for either confirmation or non confirmation of any trend regardless of bull or bear. It's too biased to the positive based on statistical timing of bull advances and bear declines and the bias shifts more positive with the weekly and even more so with the monthly. I would give it 0% usefullness all around.