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Strategies & Market Trends : Point and Figure Charting -- Ignore unavailable to you. Want to Upgrade?

To: quote 007 who wrote (12372)	1/8/1999 6:36:00 AM
From: Bwe	Read Replies (2) \| Respond to of 34808

Good morning Stu. Here's the abbreviations I'll be using: BRL: Bearish Resistance Line (capitalized because of it's status as a primary trendline) brl: Bullish Resistance Line (secondary trendline) BSL: Bullish Support Line (primary trendline) bsl: Bearish Support Line (secondary trendline) With that being said, on C's chart, the first brl that can be drawn in is above the October column of X's that ends at $38. Even though this trendline was broken I always continue drawing it as far as it will go. This brl gave another buy signal when it was broken with the Catapult buy signal at $54. Moving over to the left on C's chart, the next brl that can be drawn is above the September column of X's that ends at $36. This trendline is the next target for C at $69. The BRL is drawn from the July high above the column of X's that ends at $72. This most important trendline was definitively broken with the Quintuple Top breakout at $48. A buy signal needs to go along with a break of a trendline in order for it to be considered valid. This was a very strong buy signal. C's trend is now firmly bullish with the stock now trading above it's BSL which is at $42 (drawn below the October $29 low). This BSL is now the "official" trendline which is considered in charge of the chart. A revised BSL (look for past messages on this thread that Eric and I have written with regard to the topic of Revised Trendlines) is at $47 and, if broken, will allow you to know that something's amiss with the stock earlier than if you had waited for a break of the "official" BSL at $42. I will post a p&f analysis of PMTC in a little while. My youngest is ill today and I'll be staying home with him. Look for it before the open. Take care, Bruce