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Re: RelativeStrength



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All,
     I closed out my DE position at 54 3/4 for a 12% gain this afternoon.  I 
had set my target on this one near the top of the Short Term Up Trend Channel 
at 58.  However, that was above the top of the Intermediate Term Up Trend 
Channel which was at 55 today.  That top had held a few weeks ago and when DE 
hit 55 and started to inch back, I thought it looked like it might hold again. 
 Besides, I could use the funds to continue my move to smaller cap stocks and 
get a foothold in the gaming and health care industries which I didn't have 
any stock  is.  To do this, I opened a position in IVAX Corp (IVX) at 11 5/8 
and Trump Hotel & Casino Resorts (DJT) at 11 3/8.
     IVX closed at 11.062 yesterday.  It is in a Short Term Up Trend Channel 
(STUTC) with the top at 12 1/2 and the bottom at 10 5/8.  It broke out of an 
Intermediate Term Down Trend Channel (ITDTC) on 5/30/97.  I got a MetaStock 
ROC, ADXR, S/C buy signal about a week before the breakout.  IVAX Corp is 
engaged in R&D, manufacture, marketing, and distribution of health care 
products including generic and branded pharmaceuticals.  It has a market cap 
of 1,245.232 million and it's fundamentals are good with a PSR of 1.13, 
Debt/Equity of 0.63, and 30% insider ownership.  It dropped from a 52 week 
high of just over 30 about a year ago and was mentioned on CNBC as a turn 
around candidate a few days ago.  I set my target just under the old high at 
30 and my stop just under the STUTC at 9 3/4.
     DJT closed at 11 1/8 yesterday and has a pattern very similar to IVX 
except it broke out of a Long Term Down Trend Channel.  The top of its STUTC 
is at 12 1/2 and the bottom at 10 1/2.  The MetaStock buy signal was given on 
6/3/97.  Its market cap is 238.383 million and it also has good fundamentals 
with a PSR of 0.27, Debt/Equity of 3.35, and 40% insider ownership.  It was 
also mentioned as a turnaround candidate on CNBC.  It dropped from a 52 week 
high of a little over 35.  I set my target at 35 and my stop at 9 3/4.

Jim