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

To: Bwe who wrote (4452)	7/12/1998 8:09:00 PM
From: Smooth Drive	Respond to of 34811

And I'll double that belated Happy Birthday Bruce, Hope you enjoyed that special day with your family. We didn't get to kick around my observations made at Message 5102360 or yours at Message 5104376. (Regarding sideways trendline movement: I hand chart VTEL, and if said chart reverses this will be my biggest sideways movement to date.) As you know, our trend line discussion from some time back pushed me into further study of extending the BSL and brl even after they have been truly penetrated. The experiment is on going but, it's forced me to use a number of abbreviations. I guess I've tried various combinations but I'm currently using the following: Bullish Support Line (BSL) Bullish Support/Resistance Line (BS/RL) bearish resistance line (brl) bearish support/resistance line (bs/rl) Past Bullish Support Line (PBSL) past bearish resistance line (pbrl) You'll note that I have slightly altered the secondary trend lines to include support/resistance language. (Hang the usurper!) I did this because as I would show or teach someone about P&F charts (and this is especially true of an extended issue) they would often point out that the so called Bullish Resistance Line was currently a support line. Which was and is absolutely true. We all know that horizontal support often becomes resistance, and vi sa versa. And the same is true of trend lines. (Since this is Sunday, I can also confess that I no longer use the standard names of the six risk levels when describing bullish percent index charts to someone. I still use the same criteria for when they change but I've dropped the bull and bear terms and substituted other language that I like better. Heck these indexes are created via the activity of P&F chart buy and sell signals and to then use terms like bull and bear and correction (rather than caution) doesn't make sense to me. What are the PC P&F police gonna do, put me in jail?) I agree with you that the Bullish Support Line and bearish resistance line are our major trend lines (which create our major trading channels) but I needed to keep it simple for the slow old noggin. So --- everything Bullish is capitalized and everything bearish is lower caps. I can remember this without resorting to writing it in the palm of my hand. I've also been experimenting with placing what I call Secondary Bullish Support/Resistance Lines (SBS/RL) when an issue gets very extended over the BSL. This is created without the usual wall of O's. It's just a plain fact that trends develop when an issue is very extended over the BSL and to not recognize them just seems inappropriate to me. The where I start them criteria is evolving and I'll share that info as I feel confident enough that it will pass the giggle test. Take care, Eric