To: Al Serrao who wrote (9022 ) 10/26/1998 6:41:00 PM From: Bwe Read Replies (1) | Respond to
How are you, Al. Just some commentary about BEN from my perspective. As sometimes happens, there's a difference between the post split chart for Franklin Resources between DWA and Chartcraft. On the DWA chart, the BSL was broken in August at $42. The Chartcraft chart is always my official guide and BEN's BSL was broken at $48 in July. If there was any doubt about selling on the BSL break, then the spread Triple Bottom sell at $47, also in July was the clincher. The Bearish resistance Line which is in charge of the chart was drawn at the June $55 high and the BRL is currently at $44. The stock had a long tail down pattern when it reversed after 25 straight boxes at $29. That was the start of an Ascending Triple Top pattern (a regular Bullish Signal pattern with one additional column where a column of X's surpasses the previous column of X's) and that led to a great move to $38. The stock is now one box away from a HPT pattern at $32. If it moves to $32, the odds are that the stock will revisit the previous lows at $26. There's good support at that price as the stock has turned around 3 previous times at that level.
