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To: Sonki who wrote (10087)	6/6/1998 6:50:00 PM
From: Ben Antanaitis	Respond to of 64865

Sonki, No problem here. I'm open to ideas, I just may not be able to do more than discuss them... :-) I now understand your suggestion.. follow the earnings cycles. Hmmm might be something to look at... but I can't take that task on for all the stocks I have in the Max-Pain study. But I'll think about it. The commentary that follows the EZ-PnF charts and the support and resistance lines that appear on the charts are placed there by me, based on over 28 years of point and figure chart reading experience. The EZ-PnF program only draws the p&f chart, from the stock price data... the analysis is up to the user, including the placement of the support and resistance lines. Where to place them is pretty thoroughly documented in the books on how the point and figure technique works. See the list of P&F reference books listed on my web page in the P&F Info section for a good list of the 'standard' works on P&F. The 52.25 is a standard point and figure 'vertical count' price objective calculation that is explained in all the p&f books. In fact there happens to be a very good explanation of the technique right now in a posting on the Point and Figure Charting thread: Message 4752911 Which resistance point is most likely? Good question, the first one is the most likely, if it is reached and the price continues to rise then the second one is most likely of the remaining ones... sounds silly and I'm not trying to pull your leg, but with P&F, the resistance points are areas where the movement may slow down, stall for a while or even reverse. If all you are using is P&F,then you just have to watch the pattern forming. But if you are also looking at the real, physical world too, then you can see if earnings reports are about to be released or good or bad news is coming out or the dow is surging up or down, etc.... these other factors can give you a feeling of whether the momentum is likely to continue through and beyond a particular resistance or support point. But when you see the pattern getting there... that's when you have to watch the stock action carefully. Sometimes, the price slices through like a hot knife thru butter. Other times, you can watch the volume dry up and the momentum stall and then it might just be time to cinch up the protective stop-loss orders. Hope this helps, Ben A. ez-pnf.com