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Strategies & Market Trends : Befriend the Trend Trading -- Ignore unavailable to you. Want to Upgrade?


To: wilywilly who wrote (37960)9/30/2005 4:37:17 PM
From: Ken Adams  Read Replies (1) | Respond to of 39683
 
Bill, Don't know where the doc is this afternoon, but I'll take a stab at responding to your question. By the nature of the MAs we're talking about here, they can't continue to diverge if the second candle after the MAX remains the "wrong" color. In other words, if the second color after the MAX changes to the "right" color, I'd enter the position. If it remains the "wrong" color, the MAs will most likely begin to converge again.

You working at home these days? Part time?



To: wilywilly who wrote (37960)10/1/2005 1:46:39 PM
From: Dr. Stoxx  Respond to of 39683
 
Ken is right...the MA's won't move much on a counter-trend candle. The candle test is a valid one and will keep you out of many whipsaws. With MAX it is best to trade the system without any "common sense".