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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Thomas C (Hijacked) who wrote (16129)	5/19/1998 9:48:00 PM
From: jjs_ynot	Read Replies (2) \| Respond to of 67856

Does your chart look like this? 204.162.156.43

To: Thomas C (Hijacked) who wrote (16129)	5/20/1998 1:23:00 AM
From: Chris	Read Replies (1) \| Respond to of 67856

as you can see from that chart example that dave_s provided, it shows that even though you have a MACD weekly sell, it doesn't mean crash.. BUT YES, it means we aren't going up... from that chart example (august 1997 to jan 1998), it was a consolidation (yeah, with the oct 1997 crash, but we recovered quickly) so, in a way = yes, we are on sell signal (my charts show that too), BUT it doesn't mean a crash.. it just means, we aren't going up. my charts for your viewing pleasure are : geocities.com go to the SP500 chart (not updated), but you can see, i saw a weekly sell as well.. the MACD that we are looking at is actually quite late. hope it helps.. good looking out..

To: Thomas C (Hijacked) who wrote (16129)	5/26/1998 7:23:00 PM
From: Gary Martin	Read Replies (1) \| Respond to of 67856

Thomas, I have to totally agree with your analysis of the MACD divergences. Also, stochastics and the a/d line show distribution occurring over the last three weeks. Maybe today's 150 point drop is merely the start of the correction that follows such distribution? Also, technically, we broke down through the lower boundary of a symmetrical triangle today. Classical technical analysis predicts a measuring objective 300 points below the breakout point, which occurred today at 9020 on the June Dow Futures contract. (By the way, Dow Futures are trading below the cash Dow index in the overnight session, currently.) Good luck, Gary

To: Thomas C (Hijacked) who wrote (16129)	5/30/1998 1:21:00 PM
From: Robert Graham	Read Replies (2) \| Respond to of 67856

There are different kinds of divergences, some that are meaningful and others that are not that significant. For instance, if new highs are made in the price but the MACD does not make a new high, this is a divergence. The same can be said about new lows. The divergence you are talking about with the MACD moving down ahead of the price is a type of divergence that is not that significant in this market. This can happen for instance during a consolidation and does not need to mean anything more than this. However, some will point to the MACD crossing down through its zero value as being a significant sell signal, particularly if the MACD has not seen values below zero for some time. Furthermore, I see there are resistance values that the MACD seems to respect, and when it breaks through its area of S&R, the price does make a significant move accordingly. The zero level of the MACD is usually where such a S&R is found. The following MACDs have crossed through its zero value a period of time ago: NASDAQ, Russel 2000, DJTA, and DJUA. The following MACDs are crossing or have just crossed its zero value: DJIA, S&P 500 and S&P 100. The reason I break these two groups up the way I do is that I find resistance for the MACD indicator can come just below its zero value which is the case for DJIA, S&P 500. The MACD of the S&P 100 is just crossing its zero value. The MACDs of the Russel 2000 is crossing support, and of the DJTA has apparently met support since it has flattened out for a period of time now. A look at the charts will provide a clearer picture. Just my opinions of course. Bob Graham