Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Candlestick Charting--The unknown indicator -- Ignore unavailable to you. Want to Upgrade?

To: ftth who wrote (601)	10/28/1997 2:09:00 AM
From: HeyRainier	Respond to of 1589

Hi Dave, it's good to hear from you again. As for TKLC...your odds are against you from a technical aspect...but given the current market situation and seemingly weakened fundamentals...the odds are again being shifted to a neutral position. I suggest you take one where the TA is already showing a poor signal in this slightly weakened market, and capitalize on the advantage that you will get from shorting a stock with poor TA. Traders will want to stay away from the issue, at the very least. Remember, do not fight the trend; the trend is your friend. Also, if TKLC has puts, then I would suggest using these as proxies instead of actually taking on a short position. TKLC is approaching a current support level at 40 or so, and there could be a reaction at that level. I would get interested, however, if at the second time around, the stock does not reach new highs, then it will have formed a Double-Top. For a good example of one, take a look at AMES. OXHP--that would have been a hard one for me to call. I did see a violation of the 150 dma, but I wouldn't have been moved to purchase puts just because of it--perhaps if I had already carried a long position I would have at least written some covered calls. The worldwide selling has accelerated tonight...taking some puts might not be a bad idea... Regards, Rainier