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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?


To: jjs_ynot who wrote (52582)9/14/1998 5:30:00 PM
From: ViperChick Secret Agent 006.9  Read Replies (1) | Respond to of 58727
 
Dave

5 day trin is something that Jerry Favors follows

you do a cumulative of 5 days on the trin

over 6 is a buy signal
under 4 is a sell signal

works better this year with the Dow
than the NAZ....

Right now is an odd time in the market and alot of systems are getting whipsawed..compared to their normal use......i.e....Tom traders...Fred's daily parabolic...etc...not sure how the trin will react right now

in extreme situations you have to be careful
for instance here was the running 5 day trin starting with Aug 31..notice it is a buy signal on Aug 31....

31 323 807
1 128 849
2 117 872
3 90 746
4 139 797

Clay made an interesting observation on another thread about how if the trin gets lower than 35 for the day....we tend to sell off...and it did work today that way....

so that will be something I will watch

btw, Maria is saying that the news on possible 3m warning was first reported by her after 2....so that may be part of the declining momentum this afternoon...not sure when Morgan Stanley actually did their thing .....