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To: donald sew who wrote (55477)	10/14/1998 4:50:00 PM
From: HairBall	Respond to of 58727

donald: I agree that the borders are often broken, but what I have noticed is that in an UPTREND, a touch of the lower line could indicate a bottom, and the reverse for a DOWNTREND. In an UPTREND the upper line is commonly pierce, and viceversa for the DOWNTREND Donald I obviously agree or I would not use a moving trading range indicator. However, if one uses a moving trading range indicator that bounds most of the range in a extreme volatile trading environment, it is fairly useless during a normal trading period. I prefer to tighten up to a range that bounds the indice 95 percent of the time. Thus, during extreme volatile periods of the market, the bounds can be overwhelmed. But that is ok, as I have additional indicators. If one uses a range spread that bounds “even” during the 5 percent of the market in which extreme volatility occurs, it is not very helpful during the other 95 percent of the time. JMHO BWDIK Regards, LG EDIT: I am using 5 and 95 percent loosely and those numbers may not represent the actual value of the market norm to extreme ratio! In addition: Envelopes work best with indices and less well with individual issues!