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Strategies & Market Trends : Point & Figure - Beginners (Real Green) -- Ignore unavailable to you. Want to Upgrade?

To: Jorj X Mckie who wrote (222)	1/27/1999 4:24:00 PM
From: Ms. X	Respond to of 322

Grubber...

To: Jorj X Mckie who wrote (222)	9/12/1999 9:03:00 AM
From: accountclosed	Read Replies (2) \| Respond to of 322

OK Senor McKie, let's see if I have this much right. 1. Essentially the Point and Figure overall market indicators and individual stock charts are the opposite in terms of what makes them attractive. 2. That is...In NYSEBP, OTCBP, New Hi's vs. New Low's, Sector Bell Curve...etc. essentially the 70% level marks too much bullishness (pointing to risk) and the 30% level marks too much bearishness. These essentially are contrary indicators. They result in buy low/sell high type decisions, as you step aside from the market when the market is ahead of itself and get in as selling predominates. 3. Conversely, on an individual stock chart, whether the formation is a double top, a triple top, a spread triple top, a catapult, etc. the idea is to buy when a stock is breaking out to new highs. Or conversely a double bottom...etc. selling when new lows are being penetrated. These concepts try to measure supply and demand characteristics of the individual issue. 4. So therefore, an ideal stock purchase would be when the market was nysebp etc. in the 30's, i.e. more stocks on sell signals than buy signals....the sector in the 30's, i.e. more stocks in that sector on sell signals than buy signals...but the individual stock itself reaching new highs, peircing resistance as in a triple top being penetrated. 5. In terms of trading tactics, there is an element of possibly buying on a reversal from a buy signal which adds an additional element of buy low sell high even to the individual issue scenario. (But it seems to me that false buy signals could be created by people monitoring what levels point and figure folks might be looking at) tia, RealGreenAntMan.