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Strategies & Market Trends : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Electric who wrote (14052)	8/6/1998 12:37:00 AM
From: Lee Lichterman III	Read Replies (2) \| Respond to of 42787

On your DELL chart addressing the RSI. RSI of 20 indicating over sold yes. But a low RSI reading also indicates the strength of the stock is low, aka , it will be slower to rebound than a stock that has an oversold indication on MACD, stochastic etc and an RSI of 50%. Also keep in mind that DELL is an extremely difficult stock to get MACD, stochs etc to work on. Myself and many of my friends find it is one of the few that basic trendlines etc work well on and the other indicators are nice to haves but we don't count on them too much. Look back and back test some of those indicators when DELL has been running in the past and they show it was over bought sometimes for 3-4 month periods while it continued to run. Again this is not the same market it was a few weeks ago nor for the last few years. Believe me, I hope we get the big rally some see as I have one loser that I can't get out of and expiration fast approaching. If I could recover 20 percent at this point I would consider it a blessing. Good luck to all and I hope I am wrong but each trading day scares me more and more but not half as much as watching the buy the dip crowd with the rose colored glasses. (Not implying your one of them)