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Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?

To: virgil vancleave who wrote (13017)	8/21/1998 8:45:00 PM
From: Wayners	Respond to of 18691

There's basically one major thing I've learned by studying technical analysis for three years. When it really comes right down to it, every chart pattern and just about every price move from looking at one minute ticks up to weekly bars depends on price moves from low volatility/consolidation areas. When the volatility gets low and volume decreases, prices can jump up or down. There is no way to predict ahead of time which way it will go (and believe me I've tried everything). Sure there are biases as to probability, but there is no way to get it right more than I'd say 60% of the time. The conclusion? You have to be ready to play these situations both ways by never entering trades or predicting breakout directions no matter what the data says. Best to use buy stop orders above the pattern and buy puts below the pattern using buy stops as well(no uptick rule). Pretty hard to get a fill on an order to short on a break downward with the stupid uptick rule.