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Strategies & Market Trends : CFZ E-Wiggle Workspace -- Ignore unavailable to you. Want to Upgrade?

To: hawkeyefan who wrote (8224)	8/9/2008 8:24:37 PM
From: Galirayo	Read Replies (1) \| Respond to of 41471

Too Late .... I already typed all this Stuff !!! :) I think it's the Standard Deviation of Price ... the 50WMA and the 89WEMA are positioned and grouped above price in this multi week run .. so I'd really expect a lot of R there. If a continuation of this Bull Run is to happen I'd expect the RUT to Take them out .. Test the 144 WMA .. and settle back to support on the on the 50MA and 89EMA or other Supportive Daily MA.. Otherwise it may skew the 144 if it remains below it much longer ... [Not a Good Thing] stockcharts.com A High Deviation over longer time frames will Skew the MAs and will change Trend ... 1st in the shortest time frame EMAs then progress thru to the Longer Term MAs if the Deviation remains .. Brief interruptions or Major Deviations from Major moving averages may create a rubberband / Magnet type of effect but won't skew the MA itself .. Standard Deviance from the MA over "Time" .. Will. That is WHY Moving Average Crossovers are Important .. But Price Must Crossover the Shortest Term Moving Averages 1st ... to Create the Beginning of the Trend Change and then progress thru the rest. If Price has a Difficult Time slicing thru the EMAs / MAs .. it may not be an Impulse [ You may remember me watching the SPX Progress of Price intently as it tried to break over the EMS and MAs from the March Bottom ? ] .. ROC is important as well as the Angle of the Advance. The Gann 1x1 is supposedly the Proper angle of advance .. it's easily replicated by particular Fib MAs or WMAs when the Trend is Intact. EMAs not only not only take into account the Standard Deviation but also the most Recent ROC or Volatility. A High ROC combined with High Standard Deviation will Create a Very Beautiful DeCat Bounce .. But the 2nd Bounce is the less volatile one and sometimes the one that begins the Change of Trend that may occur when the ST EMAs / MAs catch up to price afterward. That's also why in Trend the 13EMA, Fib related, can be an effective Buy Sell Point. I have been using the Fib MA / EMAs to double check the position of Price with my Fan Lines for S & R Points in Time. They aren't Static like the Fan Lines they move with deviation and ROC. investopedia.com As far as I'm concerned we may just be looking at the Rubberband type of effect ... See how it acts at R and where it finds support. My Theory is .. Trend is on and in the Direction of the 13EMA / WEMA till price breaks it or Finds R on another Longer Term Moving Type Average or other R. Kinda like the Paper Covers Rock Game. investopedia.com It's the ole ... What was Once Support is Now Resistance .. and Vice Versa. After all that .. Show us some Charts Hawk !!! I love charts !!! :) It's also easier for me to grasp the idea or question. As Always .. Correct Me if I'm wrong .. I'm doing my Best to Stay Green and Growing and will never portend to "Know It All" !! The minute I do .. I'm no longer Growing and .. will be Doomed to a Stagnation. My Growth today consists of a New Siting out our back window .. a bird I've never seen before .. A yellow colored one. I'm familiar with the orange ones. It may have been a Bullocks but it looked more like these .. Very Bright Yellow .. like the Goldfinch at the feeder in the front yard but a lot bigger. Too far away to take a Pic of. They didn't turn out. images.search.yahoo.com