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To: donald sew who wrote (49959)	8/16/1998 12:30:00 AM
From: HairBall	Read Replies (2) \| Respond to of 58727

Donald: Technically, it could be argued that it is a SYMETRICAL TRIANGLE or a DESCENDING TRIANGLE. You have the top line plotted correctly starting the the highs of 7/20. One could connect the intraday lows of 7/7 and 8/5 to form a SYMETRICAL TRIANGLE. The other choice is to draw a horizontal line near 104, which then would form a DESCENDING TRIANGLE. Symetrical or Descending triangles in a downtrend are normally a bearish signal. Note: this is charting DELL using end of day numbers. Well thanks for the lesson. However, I disagree with you. Ok, we both agree on the top line. The stock price movement heading into the 7/20 high would have been from a bullish move up. Using 7/20 as the start of the formation establishes an up trend formation. Next, draw your bottom line using the lows of 7/24 and 8/5. Now you have a BULLISH FLAG. Or, try drawing you bottom line using the lows of 7/24 and the last closing low of 8/14. Now you have a BULLISH PENNANT. This is the formation in which you have to ignore the low that penetrated the bottom line on 8/5. (This has only one violation compared to several using your 104 horizontal line.) To argue a bearish scenario one would have to use the drop from 7/20 to 7/24 to start the bottom line. Draw you bottom line as above for the flag using the lows of 7/24 and 8/5. For the top line use the highs of 7/31 and 8/14. This forms a Bearish Flag. However, since the top line can be extended to 7/20, one should conclude that the formation does start there, supporting the Bullish formation scenario. Of course you know, that charting formations do not always resolve to the norm. (Expected break) Let us agree, to disagree, on this one. <g> BWDIK Regards, LG