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Strategies & Market Trends : The Rational Analyst -- Ignore unavailable to you. Want to Upgrade?

To: Vitas who wrote (512)	3/26/1998 1:18:00 AM
From: HeyRainier	Read Replies (1) \| Respond to of 1720

[ Sequential ] Vitas, The 8 Count is mentioned to make you aware of a possible 9 Count Setup. While a number of days from 8 to 10 (Ask Ray Cunningham about his 8 to 10 New Price Low) can trigger a snapback to a mean value of an issue's trading range, it seems that the number 9 might have been more popularized due to the specific mention of it in Tom DeMark's works. The Sequential Setup is equivalent to the 8 to 10 New Price Low, which in turn is also equivalent to Sakata's Methods in the Candlestick Discipline regarding a run-up or decline of equivalent magnitude. I prefer acting on a 9 Count much more than an 8 Count; I will be more apt to act when (1) the fundamentals of the company in question are attractive (2) the long term trend remains intact (up for long positions, down for short positions) (3) the price decline (or advance) has taken the price to significant support levels... ...actually, a number of factors can be considered. Much of the same criteria a good trader will use to make entries can be applied here as well. That means if a 9 Count is triggered in an area represented by low risk, then it's very probable that the entry point will be a good one. Regards, Rainier

To: Vitas who wrote (512)	3/27/1998 12:55:00 AM
From: HeyRainier	Read Replies (1) \| Respond to of 1720

[ Sequential Setup: WMB ] Vitas, If you're looking to make a play on WMB, now would be an appropriate time to make a stab at it. The 9 Count was triggered with today's trading, and it formed a more-bullish-than-usual Hammer, called a Takuri Line at the base of its downward trending Trading Channel. Short term stochastics are in near-oversold territory to help you out, and if RSI Theory holds, then some support should materialize at this level for the modified RSI indicator I am using. In addition, the long term trend of the stock remains strong and intact. Plus, that Tom DeMark Expert Indicator has turned up and moved out of the oversold territory, which usually is an indicator of a near term rise in the market. We'll see how it goes tomorrow. Current price: 31 1/4 Regards, Rainier