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 : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: The Perfect Hedge who wrote (50287)	8/19/1998 10:29:00 PM
From: James Strauss	Respond to of 58727

With New Lows continually overpowering New Highs day in day out, and Decliners leading Advancers, the market cannot sustain an advance... As such, the direction is down... Jim

To: The Perfect Hedge who wrote (50287)	8/19/1998 11:33:00 PM
From: Jorj X Mckie	Read Replies (1) \| Respond to of 58727

Hey Zaphod, Just a clarification on the P&Fers and specifically Tom Dorsey. He did say we are down in the oversold area, but there was still room for some more downside. I believe the signal for the reversal would be the NYSEBP reversing to positive. Jan would could probably give a clearer interpretation, but I did not hear Dorsey say that the reversal up is imminent. Tom

To: The Perfect Hedge who wrote (50287)	8/20/1998 8:26:00 AM
From: donald sew	Read Replies (1) \| Respond to of 58727

Beeble, The last time I heard DORSEY on CNBC, which was either this week or last week, I did recall that he felt that we should be turning around soon, but he also indicated that we could go down a little more but not a big dump. Is he saying now that we are heading straight up, or the same position that we are near the bottom, and could still go down a little more? My position is actually very simple, based of the the main principal of TA which is HIGHER HIGHS & HIGHER LOWS = UPTREND, and LOWER LOWS & LOWER HIGHS = DOWNTREND. Right now we are in a mid-term downtrend (5-30 days). We have set the first lower low when we recently broke 8500. If we do head down right now, that would indicate that we produced a LOWER HIGH, and would confirm the mid-term downtrend pattern. The next step is whether we break 8300 to the downside. If we do, it would confirm the downtrend again and strongly imply that we are in a long-term, not just mid-term downtrend. Lets say that we retest 8300 range again and start to move up - now that would be the first indication that we could be reversing. To make it more confusing, I also have a THIRD type of trend which few consider it or call it a trend, and that is the RANGE TRADING TREND. We could also just be in a RANGE TRADING TREND for the rest of the year and into part of 1999. If we retest 8300 and it holds, then I would first interpret that as a hint or slight confirmation of a RANGE TRADING TREND rather than a reversal straight into a solid UPTREND where the market will set higher highs. BEEBLE, as you have noticed I am still quite negative to this market but I will not yet call for another huge pullback down to the 7300 range. I am leaning towards 7700-7800, which is still a 11% drop from here, but I am still waiting for the break of 8300 to make my position firm. Im a trader and I have concluded that for myself, I earn the most when the market range trades not when it is in a firm trend in either direction. seeya