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Strategies & Market Trends : Ask Vendit Off-Topic Questions -- Ignore unavailable to you. Want to Upgrade?

To: Zeddie88 who wrote (7080)	3/28/2005 6:32:10 AM
From: Vendit™	Read Replies (3) \| Respond to of 8752

Sue, Last week was not a typical week for any stock. Terry is correct about the volume being relatively low on a daily basis for HURC; however in the chart below you can see the that the swing pattern is good. 139.142.147.218 Once again a will tell you that $14 is near the bottom of the swing cycle and patience will reward you with an exit near $20.

To: Zeddie88 who wrote (7080)	3/28/2005 9:47:00 PM
From: Walkingshadow	Read Replies (1) \| Respond to of 8752

Hi Sue, I tend to get in a bit too early myself. I think in the case of HURC, I would have not waited for the signal, which did not really occur until today. Rather, I would have used the intraday support levels. My definition is usually that the stock must trade higher than the previous day's high, and also that it must successfully trade through a key intraday moving average. Sometimes I use the 200 min ema with a 1 min chart, if the stock trades high enough volume to make this meaningful. But because of the low volume, this doesn't work very well for HURC, so in place of the 200 I would use either the 40 min ema with a 5 min chart, or a 20 min ema with a 10 min chart (these are all equivalent): 139.142.147.22 If you look at this chart you will see that technically all the criteria have not been satisfied, but that is only because HURC gapped up excessively on Friday, and traded there only for a short while. With most stocks, this kind of thing will not happen, at least not to that extent. Again, that is another reason low volume stocks are difficult or impossible to evaluate technically. For this special circumstance, I probably would have went long as soon as I saw momentum through the 20 min ema on a 10 min chart and a high of the day, which would have got you in the stock at about $14.25. Bottom line, I think your entry was fairly reasonable, partly because of the solid support at $14. But that said, it can be very dangerous with some stocks to try to anticipate a technical buy signal (or sell signal). So it is better to wait until the stock shows its hand, even though that will usually mean you don't squeeze every bit of the profit out of a trade. This approach will favorably alter downside risk IMHO. T