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

To: Casaubon who wrote (8531)	3/20/1999 1:29:00 AM
From: Lee Lichterman III	Read Replies (1) \| Respond to of 99985

>>The daily chart of the DJIA shows a neutral candlestick pattern over the last two days, << I don't know about that. My SPX chart shows a borderline tweezer top and the DOW has a weaker one but I can see enough of one to be worried. Of course, take my view with a grain of salt since I was 99% sure we would close over 10K in my post yesterday. <ng> I worked all night so I haven't had much time to look at my stuff yet but I saw a lot of nasty formations implying lower tops, lower lows, tweezer tops, hammer tops and very few bullish patterns save a few in some of the really beaten up sectors where the downside is some what limited. Monty's summation charts don't look too bullish and many of my indicators are topping and crossing downward yet still in the severe over bought area. I do realize that today was triple witching and that skews a lot of the TA since prices were all over the place while positions were being unwound. One funny thing I didn't realize until I was typing this. In the past few months including the last triple witch, option contracts were being un-wound early usually done for the most part by Wednesday. Looking at some of today's option quotes, there was a HUGE amount of activity implying that they were unwinding these things up to the last second. Surely daytraders weren't doing all that volume. Did maybe the big boys actually get surprised today for once? I wonder if the script really was for the DOW to close up and the IBM downgrade rumor and Rubin rumor spoiled it causing a disruption in the script. Looks like another weekend with extra homework, Lee

To: Casaubon who wrote (8531)	3/20/1999 8:45:00 AM
From: donald sew	Read Replies (1) \| Respond to of 99985

Casaubon, >>>> . The ADX has expectedly risen above 50, with a rising +DI, lending support for my earlier ascertation of rising prices early next week (remember, when the ADX is above 50, a continuation of the trend is strongly implied). So, although the candle pattern is mildly bearish (Doji), the ADX strongly anticipates a move to the upside.<<<< I too, feel that we could still see some more zig-zagging with an slight incline, but not much longer. Talking about the ADX and DI, it would be nice if we could get a similar pattern as that which occured at the end of NOV. Now that was a clear signal. Im sure you noticed, but that pop in volume on a significant DOWN DAY is an ominous sign. One may say that the DOW only sold off 94 points, but it actually sold off about 180 DOW points off the intraday highs on increased/pop in volume. That does not mean it will continue down immediately, but could. Regardless, it is a bad sign for the near future. seeya