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To: Chip McVickar who wrote (16896)	2/27/1999 12:59:00 PM
From: Jerry Olson	Read Replies (1) \| Respond to of 44573

Chip here's a P&F chart of the DJIA...i feel this sideways move will eventually resolve itself to the downside...i don't know when though.. i have seen similar charts on other indexs and they are being sold off..FWIW............................................................. each time this index went to try to breakout it looked like what i call High Pole Tops...they quickly reverse into a column of O's...if you look at the 9100 number you will see separate columns of O's hitting agianst that number and moving back up in a col. of X's... i feel we will break that target area of support to the downside large..1st stop would be 8650-8700, from there i don't know...8100-8000, ???? sorry for the font size but i can't figure any other way to show it properly... also let me say, a run to new highs would not suprprise me here...we did the exact same thing last July/Aug, then sold off in Sept/Oct...it has the same look....albeit with interets rates rising, and the economy much much stronger... DJIA (02/26/99) 9306.58 Sector: (Risk: ) Stock Mom: Neg RS = Sell, / / ; column = s - Trend Chart Broke a Triple Top on 02/22/99 Other Scales 100 Box Size 50 Box Size Another 02/24/99 9750-----------------------------------+--------------------------------------- 9700 \| 9650 \| 9600 \| X X 9550 \| X O X O 9500-----------------------------------+---X O ----------------X O ------------ 9450 \| X O X X O 9400 \| X O X O 2 X O 9350 X 1 X O X O X O X X X O 9300 X O X O X O X O X O X O X O X O Med 9250---------------------------X O ----X O X O X O X O X O X O X O ------------ 9200 X O X O O X O X O O X O 9150 X O X O X O X O X 9100 X C X O O O 9050 X O X X 9000---------------------------X O X O X -------------------------------------- 8950 X X O X O X 8900 X O X O O X 8850 X O X O X 8800 X O O X 8750-----------------------X --------O X -------------------------------------- 8700 B O \| 8650 X X \| * 8600 X O X \| * 8550 * X O X \| * 8500---* --------------X O X ----------+-------------------* ------------ Bot 8450 * X O X \| * 8400 * X O X \| * 8350 * X O \| * 8300 * X \| * 8250-------------* ----X --------------+---------* ---------------------------- 8200 * X \| * 8150 X X * X \| * 8100 X O X O X \| * 8050 O X O X O X X \| * 8000-O X O X O ----X O X --------------* -------------------------------------- 7950 O X O X O X O X * \| 7900 O X O O X O * \| 7850 O X O X X * \| 7800 O X A X O X * \| 7750-O ------O X O X --------* --------+--------------------------------------- 7700 O X O X * \| 7650 O X O X * \| 7600 \| 7550 9 \| 9 7500-------------O * ----------------8 +-9 ------------------------------------ While we make every effort to be free of errors on these charts, they are derived from data from other sources. We believe these sources to be reliable but we cannot guarantee their accuracy. Copyright © 1995-1999 Dorsey, Wright & Associates, Inc. Disclaimer.

To: Chip McVickar who wrote (16896)	2/27/1999 1:04:00 PM
From: Jerry Olson	Read Replies (1) \| Respond to of 44573

Chip one more thing of note...if you look on the chart, you'll see an asending dotted star line...if you look to the left of the chart at 8650, and draw a horizontal line straight across the chart it would touch the top of that line... we call that the Bullish Support Line(BSL)...i would think at a minimum we will test that line...if it holds the selloff would be over...if it gets pierced the next logical stop would be 8100ish and be very very bearish!!!!!!