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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: donald sew who wrote (7850)	3/9/1999 2:27:00 PM
From: StockOperator	Read Replies (1) \| Respond to of 99985

As you know my system is to identify the short-term reversals and you are mainly talking about the longer-term. Don, on the contrary, I'm not talking about long term at all. My observations are based on what I am seeing right now. GE breaking a triple top formation yesterday with an unfilled gap on the chart places much more emphasis on how that stock performs over the next couple of weeks. Besides all the other points that I mentioned in my last post. These patterns have developed. The market overall is now attacking those resistance levels. So I believe the answers to my questions will be answered here by the markets. And most likely over a very short time frame. As you know I have been bullish for some time - and remain so. But I believe for me to predict that the market will be rising over the next two months until June at which point it will start to fall off, or any comments like that. Are way over the level of my expertise. I would much rather say that - this is what I'm seeing right here and now. And this is what I believe the market has to do to work through this level or that. By working ONLY with what the market has given me over time, has allowed me to stay bullish from our Oct. bottom. My views might be considered longer term simply because a breakout of these patterns to the upside, with volume and breadth all saying the same things, could imply much higher prices down the road. But we have to get through this resistance first. So really the only way I could answer your question about a 200 pt loss on the DOW, would be to say that I would view it in the context of the big picture. Are there any divergences. Whats happening with the other avgs. And like you said 200 pts is really not very much. Closing the gaps on the charts would however, be very positive from my point of view. Assuming of course we turn right back around and head higher. Good trading. SO