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Strategies & Market Trends : LastShadow's Position Trading -- Ignore unavailable to you. Want to Upgrade?

To: Mac Oliver who wrote (3770)	12/5/1998 6:52:00 PM
From: LastShadow	Read Replies (1) \| Respond to of 43080

Gaps and January Effect Yes, most people who play gaps do son on stocks they are at least somewhat familiar with, and for the most part those with higher volume and volatility. Although it will work for the most part on all gapping stocks, the profit potential is much less and the intraday market trend less predictable. There are actually three January Effects. The most prevalent is the correction stocks make that have been performing poorly for the previous year, and funds (primarily) offload them causing a dip. The converse effect is when funds/individuals accumulate at that low and puts the short traders in a squeeze. I have no coorelation in terms of market capitalization, but rather in terms of volume - the more volume to the downside, the bigger the jump. Gaps are the best way to play these safely. The second indicator is known as the January Barometer, which in the last 40 years or so has an 85% acuracy that if the market is up in January, it will end high for the year, which also is the case for 1998 so far. this is pretty consitent across all indices and is important for leaps and index options players. The last is known as the "First 5 Days in January" which is about 91% accurate historically and s important for long term stock hold people - especially those with IRA's or limited movement 401ks. Basically if the stock makes gains in the first 5 days, buy on the following week or so as the stock has a 91% chance of ending higher for the year. There is no correlation for stocks that go down the first five days - some may end higher and some lower. Both the last two indicators came out of Research by Yale Hirsch of the Hirsch Organization Inc. lastshadow

To: Mac Oliver who wrote (3770)	12/19/1998 10:24:00 PM
From: Darcy M Brockbank	Read Replies (1) \| Respond to of 43080

For those of you using the gap lists on Mach6... we've added four more free screens. Very basic, but the first of hopefully many more additions. They are: Most Actives by Volume, Most Actives by Day Value, Largest Percentage Gainers, Largest Percentage Losers. The user interface has been changed a bit to facilitate more screens being added, and the Day Value field has been added to the screen output. You should be able to see these linked in with the gap lists. mach6.net Will get you there.