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Microcap & Penny Stocks : DGIV-A-HOLICS...FAMILY CHIT CHAT ONLY!! -- Ignore unavailable to you. Want to Upgrade?

To: woody who wrote (4771)	5/10/1998 2:24:00 PM
From: Secret_Agent_Man	Respond to of 50264

Another Reminder IMPORTANT POST in my opinion, I've been looking at this and I've seen the same thing but, was not able to articulate my observations as eloquently: From: Gene Bumgardner Reply # of 4689 This is for the chart fans out there. Voodoo lesson #1 (see below) Real nice base being formed here at 7 1/2 level. DGIV has typically run up on relatively strong volume and backed off relatively weak volume. Average daily volume (ADV) for DGIV is about 265,000 shares. So strong volume means anything ABOVE the ADV and you can guess what weak volume is. Here's where the lesson begins, so if you like this stuff keep reading, if not, click "NEXT". :) The total volume figures reported by most services don't tell the "hidden" story. That story is told by the On-Balance Volume (OBV) OBV is a momentum indicator that relates volume to price change. OBV is a running total of volume calculated by adding the day's volume to a cumulative total when the price closes up, and subtracting the day's volume when the security's price closes down. It shows if volume is flowing into or out of a security. When the security closes higher than the previous close, all of the day's volume is considered up-volume. When the security closes lower than the previous close, all of the day's volume is considered down-volume. SO THIS IS THE GOOD STUFF. The OBV has increased from roughly 5 million @ the beginning of April to OVER 10 million as of late. WOW. An interesting twist on this subject is the Money Flow indicator. The Money Flow Indicator (MFI) attempts to measure the amount of money buying a stock against the amount of money selling a stock. It does this by assuming that when a stock closes higher than its open, all volume associated with that trading period results from buyers. It further assumes that when a stock closes lower than its open, all volume associated with that trading period results from sellers. Although these assumptions are overly simplistic, money flow can be a useful indicator when analyzing the general buying and selling pressure on a stock. SO what's the scoop here? Beginning of April the MFI for DGIV was $4.5 million. Its now at $17.5 million. Thanks to all of us DGIV believers and Mr D. of course! You gotta believe. One more tidbit and I'm gone. "Timing is everything" Byron said earlier this week. Ok. I subscribe to that notion. So what "voo-doo" does THIS witch doctor use for a TIMING indicator? Parabolic SAR. (Now I've really bored everyone to death with that one.) Here goes.... The Parabolic Time/Price System is used to set price stops and it is usually referred to as the stop-and-reversal (SAR) indicator. The system is designed to allow more leeway or tolerance for contra-trend price fluctuation early in a new trade, then to progressively tighten a protective trailing stop order as the trend matures. To accomplish this, it employs a series of progressively shorter, exponentially smoothed moving averages each period the price moves to a new extreme in the expected trend direction. You should close long positions when the price falls below the SAR and close SHORT positions when the price rises above the SAR. If you are long (i.e., the price is above the SAR), the SAR will move up every day, regardless of the direction the price is moving. The amount the SAR moves up depends on the amount that prices move. GUESS WHAT folks? There ain't been a sell signal INSERT : there won't BE a SELL signal! since Jan 98 when DGIV broke $1.00 and dropped to $0.17 in Feb. THE PRICE OF DGIV HAS BEEN ABOVE THE (SAR) SINCE MARCH WHEN IT WENT BACK THRU $0.50. DO YA THINK THE SHORTS KNOW THAT SH*T YET?</b