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Microcap & Penny Stocks : ACRT about to move to new highs -- Ignore unavailable to you. Want to Upgrade?

To: Goulds who wrote (4786)	4/3/1998 11:55:00 AM
From: stan s.	Read Replies (2) \| Respond to of 7054

A little TA on ACRT...................................... Chart 1. geocities.com This chart tends to support the view of impending price movement. Note the Bollinger Bands. These are the red bands (standard deviation 2, 20 day moving average) that are tightening around the security. (By the way these colored triangles are for my use and it was too much trouble to remove them. Those familiar with charts can note the general predictive connotations as the the price is squeezed into the corners. These lines are plotted on closing prices.) They (Bollingers) have narrowed by some 60% thus indicating the lack of volatility lately on ACRT. Bollinger squeezes almost always end in a violent pop...up or down. Squeezes can go on longer and tighten more than thaey have thus far. The lack of volatility, rather than representing boredom, is probably more indicative of pent up emotion. When that emotion is given direction, it should move rapidly. News can be the trigger, or it can be spontaneous. Here's an example of squeezed Bollingers' on another chart I play...CYMI. Notice the Bollinger pop in late January as well as the move earlier this week. Chart 2.http://www.geocities.com/WallStreet/Floor/3879/chart3.gif I am not saying this will happen to ACRT, violent moves can be to the downside as well. Back to ACRT. This third chart gives some indication as to the direction of the next move. Notice the unabated strength of the MACD (black) since it's buy signal cross in earlier March. The blue line is the 20 day TRIX showing continued upper movement. I use both of these indicators as more of a mid term predictor. Chart 3. geocities.com Note the Chaikin A/D indicator(white) showing strong accumulation since February...even as the price was declining. Take note of the green trend lines (closing prices) showing clearly the lack of recent volatility. Note the pennant shape, or ascending triangle. The volume has been very low. One of these lines will be broken by April 9th. A break above would indicate a retest of higher resistance...a break below would indicate a test of lower support. Simply following the supporting trend line would continue to push ACRT up. It represents, for now, ascending support....i.e. that line rises 10 cents or so per day. This only means that if support is 13.50 today than monday's is 13.60 etc. until the support is broken at close. The strength of some of the mid term indicators suggest an upward break is more likely. It is not however crucial....a retest of lower support is just that and nothing more. In my view the short term indicators are ambivalent...with the 5,3,3 Stochastics showing some weakness. For my own personal reasons I would like to see ACRT test and hold at close, the bottom green trendline. My protective stop was taken out on Monday's dip while I was gone and I'll be watching for a re-entry. Good luck to all. Make decisions based on the fundamentals. The above does not take into account the controversy surrounding ACRT...excepting that which is naturally reflected in charts. Stan