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

To: Ms. X who wrote (3120)	5/22/1998 10:58:00 AM
From: Ms. X	Respond to of 34811

Here we go again: My Mac flipped out and I had to quit. At least I got some of the message out. Last example Pulling back to support X X X O X O X O X O X O X O X O X O X O X X X O X O <--Last area of resistance X X O X O X O X ? good pullback area. X X O X O X O X ? X O X O X O O ?<--Possible triple bottom and support level X O X O X ?<--Stop loss (triple bottom break) This illustrates how a previous area of resistance can be used for a support level. The next (and better) area of support would be where the triple bottom is formed. This gives you a risk of 1 since your stop would be one box lower. Hope this helps you. Jan

To: Ms. X who wrote (3120)	5/22/1998 11:33:00 AM
From: Ms. X	Read Replies (5) \| Respond to of 34811

DELL: I wanted to highlight this high flyer that has made many investors happy over this past bull run. I bring it to attention because it is showing signs of demand drying up and supply coming in. I'm going to use Dell to illustrate how we stack things in our favor. Below is a list of indicators we use to determine our risk. Remember, just looking at the stock isn't enough. You have to know what the forces behind the stock are doing (market, sectors, indexes) Here is a check list for Dell from the top indicator down: Indicator -/+ Collumn In your favor? NYSE bullish percent - O No Optional bullish percent - O No Over the counter bullish percent+ X Yes/No (just ready to reverse down to O's) Computer sector - O No BMX box maker index (PHLX) - O No Dell RS + X Yes Dell Trend + abv bsl Yes Dell signal Sell O No To add them up you have 3 for you and 5 against you (could be 6 by the end of today). This information tells you if you are heavy into Dell, it is time to consdier hedging. If thinking of buying.....ummmmm IMHO not yet. Thinking of shorting....yeah, it could work (a Tom Dietz thing). Dell chart: 102 100 ------------------------------------------------------------------ 99 98 X X <--resistance 97 X O X O 96 X O X O 95 --------------------------------------------------------X O X O -- 94 X X O X O 93 X O X O X O 92 X O X O X O 91 X O O X O Top 90 ----------------------------------------------------X ----O --O -- 89 X O 88 X O 87 X O <--second sell signal 86 X 85 ----------------------------------------------------X ------------ 84 5 83 X 82 X 81 X 80 ----------------------------------------------------X ------------ 79 X X 78 X O X 77 X O X 76 X O X 75 ------------------------------------------------X O X ------------ 74 X O X Med 73 X O <--Next support level 72 \| X 71 \| 3 X 70 ------------+---X O ------------------------X --X ---------------- 69 \| X O X X X X O X 68 \| X O X O X O X O X O X 67 \| X O X O X O X X O X O 66 \| X O X O O X O X O X 65 ------------+---X O X ----O X O X --X --X 4 X -------------------- 64 \| X O O X O X O X O X O X 63 \| X O O X O X O X O 62 \| X O X O O 61 \| X O 60 ------------+---X -----------------------------------------------