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Strategies & Market Trends : Point and Figure Charting -- Ignore unavailable to you. Want to Upgrade?

To: edward miller who wrote (898)	2/20/1998 12:12:00 AM
From: P. Ramamoorthy	Read Replies (1) \| Respond to of 34816

PnF chart is one dimensional: price only. Time is not used in the chart, although months are indicated. Therefore, it should not matter whether it is short or long term. It tells us the price boundaries (bullish vs. bearish) and targets. Is that right, Jan? Ram

To: edward miller who wrote (898)	2/20/1998 11:34:00 AM
From: Ms. X	Respond to of 34816

Hi Ed, Actually the Relative strength becomes the long term indicator as well as the bullish and bearish resistance line. For instance, as long as a stock has a strong RS and is trading above the bullish support line, for a long term investor we suggest a hold. If the sector of that particular stock reverses we would suggest a hedge strategy to protect against loses. The vertical counts can take a while to work out but no, it doesn't really project into years. As Dorsey says "We look only as far as our headlight will allow us". Your point accents the reason for fundamentals when making any investment decision. Let the FA tell you what stock has the best long term outlook, good returns etc. Let the TA tell you when to enter, when to hedge or when to exit. Hope this helps, Jan