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To: AlanH who wrote (52656)	9/15/1998 12:37:00 PM
From: donald sew	Read Replies (3) \| Respond to of 58727

Alan, Right now we are still at the top of the right shoulder. If you look at the HEAD, it lasted 2 full days and the left shoulder lasted about one day. If this pattern is followed the right shoulder could collapse this afternoon. Keep in mind that we need to stay below yesterdays highs(8039). I feel that there could still be an attempt to run the market up today before the end of the day. One thing I want to mention is that this flat period could actually be intensifying the HEAD and SHOULDERS formation. I realize that some expected an immediate selloff at the open. I believe that if the selloff continued this morning it would not have been as negative as this extended flat period. On the other hand this flatness could be the base of the next runup, which is unlikely, but still a possibility. On a subjective basis - holding the market flat is using up cash. The longer they have to input cash into the market without any significant positive movement, the more impatient they will get. Such could lead to more psychological negatives which could lead to a stronger sell off. Hope I made some sense. I feel that this flat period is intensifying the forthcoming pullback. As I am writing the DOW has moved up to positive 32. Again, as long as we stay below 8032 the forth coming pullback is intact. Seeya