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 : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: BubbaFred who wrote (29883)	10/2/1998 2:27:00 AM
From: marketbrief.com	Respond to of 94695

Analysis of Daily Charts of Major Market Indices Dow Jones Industrial Average: From the intraday high of 9367.84 made on July 20, 1998 to the intraday low of 7400.30 made on September 1, 1998, the index fell a total of 1967.54 points. Since the lows, the index has bounced 782.17 points, a 39.75 percent retracement. It has traded inside of a classic bear flag pattern, which has bearish implications and had been trading within the well-marked boundaries of the flag until yesterday when it broke to the downside. There are two possibilities at this time. The first would be an eventual successful test of the September 1 intraday lows. The second would be a break of the lows. We can use the measurement formula of Edwards & Magee as a rule of thumb to calculate a target of 6828.99. Major areas of support seen on the weekly chart are 7391.59 and 6691.51. S&P 500 Index: From the intraday high of 1190.58 made on July 20, 1998 to the intraday low of 939.98 made on September 1, 1998, the index fell a total of 250.60 points. Since the lows, the index has bounced 126.13 points, a 50.33 percent retracement. It has traded inside of a classic bear flag pattern, which has bearish implications and had been trading within the well-marked boundaries of the flag until yesterday when it broke to the downside. There are two possibilities at this time. The first would be an eventual successful test of the September 1 intraday lows. The second would be a break of the lows. We can use the measurement formula of Edwards & Magee as a rule of thumb to calculate a target of 899.45. The major support seen on the weekly chart is in the 900 area. Nasdaq 100 Index: From the intraday high of 1485.97 made on July 21, 1998 to the intraday low of 1118.12 made on September 1, 1998, the index fell a total of 367.85 points. Since the lows, the index has bounced 295.04 points, an 80.20 percent retracement. It has traded inside of a classic rising wedge pattern, which has bearish implications and had been trading within the well-marked boundaries of the wedge until yesterday when it broke to the downside. There are two possibilities at this time. The first would be an eventual successful test of the September 1 intraday lows. The second would be a break of the lows. There is no measurement formula for rising wedges. Charts have been posted to intelligentspeculator.com