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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?


To: ViperChick Secret Agent 006.9 who wrote (29780)12/1/1997 1:40:00 PM
From: Kevin  Read Replies (1) | Respond to of 58727
 
>>>if a particular area is STRONG resistance and it is pierced and you say we are headed up from there...why wouldnt it be a buy signal...you call it a "break out"<<<

OK. 2 things:
#1. I am just telling you how I use the system. I like to enter trades when there is a move out of the neutral zone.
#2. You are right. This could be translated as a buy signal. There's nothing wrong with buying after this range is broken or after the last range was broken. I just find it riskier to enter trades when we are already moving around inside my various levels of resistance or support.

>>>Kevin...i have never seen you say the following in terms of a range with the SPZ being about 1 1/2 points:If you have please point it out to me...but I have never seen it.<<<

As I said in the last post, my posting on my system has become more detailed over the last week or two. During this period, these extra points have never been a factor...they were too far out. Many days, these extra points are at least 20 points from the prior day's close. Today, there were two of these extra points within 17 points of Friday's close...that's rare, and that is why I posted it.

>>> So I am asking what is prompting you to do this range?<<<
The data is prompting me to do this. If the extra points that I generated this morning were 980 & 990, I would not have posted them....unless of course the market was SCREAMING and they needed to be mentioned.

Don't forget when you asked me why I run the pivot function so many times during the day....I'm calculating various levels.

>>> What are you seeing that caused the extra data to come into play before the market even opened?<<<
I think I explained this above...

>>> Are you saying that it would never have constituted a break out before...if that is true..then wouldnt it be a "buy" signal?<<<

Being that it doesn't happen that often, I don't have much research on the reaction of such a range being broken. But based on past experience, that is what I've found. I was right on the first strong res range...but does that mean it'll happen this time too???

Always trying to learn ad fine tune.

Am I getitng closer to sounding not insane?