Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Z Best Place to Talk Stocks -- Ignore unavailable to you. Want to Upgrade?

To: DanZ who wrote (14811)	6/16/1998 12:49:00 PM
From: Nemer	Respond to of 53068

McClellan Summation Index. Dan and Jim : As with you, Dan, I'm no expert on this index, but it does have a high degree of co relationship with an flow chart that I've been maintaining for several years. Mine , fwiw, is showing a bottom for this market to develop within a time frame of Friday of this week into the next week to ten days from now and at a range which should equate to about minus 1000 on the above index. That narrowed down slightly would be next Tuesday plus or minus 2 days....... Mine is a time frame flow only, no DOW or SPX or OEX points....... so I have interpolated it to come with the minus 1000 on the McClellan, which I've done in the past successfully. Thanks , Jim , for calling this to our attention. It had gotten off my lookat list for some unknown reason (I'd moved the bookmark to a seldom used folder).......ggg Regards --- Nemer

To: DanZ who wrote (14811)	6/16/1998 12:57:00 PM
From: James Strauss	Read Replies (1) \| Respond to of 53068

McClellan Summation Index... Dan: Readings between -500 and -1000 have been associated with market bottoms when confirmed by Dow and S&P turnarounds... But, just like a price support area in any chart, there is potential for a breaking of support... When this happens, a lower level of support is sought... With the McClellan Summation Index, a break below this -1000 support level indicates a market that will continue to go lower until it finds a new support area... That's why the next few days of the Summation Index activity should give us a clue as to where the market is heading... On the negative side, we haven't had blowoff selling with big volume... Instead we've had a drip drip drip of lower prices each day on moderate volume... This means that there is not yet enough fear out there that usually brings about the panic selling at the bottom of a correction... We don't seem to be there yet... The only positive is the relatively lower interest rates... We usually don't have a BEAR market when rates are low... This is somewhat counterbalanced by Japan's Currency and Banking crisis that could have global implications... This is the challenge in investing... The rules are always changing... My bet is a continuation of the correction up to 10% more on the downside... Then we turn around to challenge the 9200 to 9400 area... Jim