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Strategies & Market Trends : Strictly Buy and Sell Set Ups -- Ignore unavailable to you. Want to Upgrade?

To: GREENLAW4-7 who wrote (2255)	2/13/2005 3:18:22 PM
From: chowder	Read Replies (1) \| Respond to of 13449

>>> D-Bum, any thoughts on the OSX?? <<< Greenie, I'm seeing something in the OSX I haven't seen in two years. I'm seeing systematic buying at these high levels and I'm seeing incredibly high volume and money flow patterns. Listed below will ba a weekly chart of the OSX. When looking at the long term trend and how to define it, the 20 week moving average is above the 40 week. There is a wide separation between the two and they are rising in a north easterly direction. This is very bullish. Next, look at the blue lines that form an ascending right angle triangle. An ascending right angle triangle is a rally to a new high (beginning of October) followed by a pull back to a support level (20 week moving average), a second rally to test the first peak followed a second decline to a level higher than the first intermediate term support level, and finally breaking out to new highs on increased volume. The chart clearly shows all of this. Then comes the good part. What causes this pattern to develop is a strong move up due to a positive fundamental development. More and more people begin to believe that higher prices are sustainable. Those who were shorting into resistance at OSX 125 were caught off guard as more demand came to market. This caused a very good short covering rally and the momentum picked up from there. Three weeks ago, as the OSX broke above 125, the accompanying chart will show the price bar turning from yellow to green. This is the first green bar we see on a weekly chart in over two years. In fact, I just went back to 1999 and this is the first green bar that has ever occurred. This green bar represents the Balance of Power (BOP) in price action. It represents longer term systematic buying going on. This past week saw another green bar. For those wanting to have a better understanding of BOP, it is provided in this link. Message 20785345 The middle window in the accompanying chart is an indicator called TSV (Time Segmented Volume). It measures volume over specific periods of time and I have it set at 31 to get a longer term view of accumulation or distribution. The blue line is a 20 week moving average. TSV clearly shows volume is not only above a rising 20 week moving average, volume continues to climb higher. The lower window represents Money Stream (MS) and also applied to a 20 week moving average. Everything confirms a strong uptrend. ttrader.com What are my thoughts? I think if one is in, they should stay in. If one is looking to get in, I would wait for a pull back during a profit taking run. I would wait until price hits a support level. If one is looking to short, I would wait for a reversal signal, shorting something this strong could be hazardous to one's financial health. If one is looking for a spot to take profits, I would back down to a daily chart and wait for a reversal bar. Did I leave anything out? dabum