[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

Gil Raff's MarketSpace

PureBytes Links

Trading Reference Links

The S&P 500/100 show the daily Stoch(5) and Stoch(13) both well above 80 and
the weekly Stoch(5) also well above 80 (and looking like the daily

The DowInd, Nasdaq Comp, and Nasdaq 100 stochs of the type noted above are
below 80 and rising.

I assume that this MIRAT Buy Signal, then, would be based on market action
in which the Stoch for the two S&P indices would remain above or close to 80
for at least as long as it takes the other indices to catch up.  Is this a
correct interpretation?

Frank, my memory is that you're the one who posted the recent note about a
Stoch that doesn't drop being trend indicating (or something like that, I
can't find the note).  (c.f., latest issue of TASC on the "Pop-Stochastic").

Sometimes a Stoch drops below the 80 signal line and this is an extremely
important thing to pay attention to because the drop to below or close to 20
will turn out to have significant price implications.  But sometimes the
drop below 80 is very short-term and the return to a reading above 80
signals continuation of the trend.  (The article in TASC points out that the
return to a reading above 80 is itself a signal of the continuing trend, as
Frank's(?) note also pointed out.)

My question is this:  Are there one or more indicator(s) one can use in
conjuction with the stoch that provides some significantly reliable insight
into whether a below-80 faltering stoch signals the beginning of a
significant correction or merely a breather before the stoch moves to above
80 again?

In the VERY FEW cases I've looked at, it seems like a default parm MACD
provided some early insight into what might be the actual future of the
stoch in the kind of case I've laid out above.


Steven Buss
Walnut Creek, CA

-----Original Message-----
From: Frank B. Gaylord <fbg@xxxxxxxxxxxxxx>
To: metastock-list@xxxxxxxxxxxxx <metastock-list@xxxxxxxxxxxxx>
Date: Thursday, December 04, 1997 7:05 AM
Subject: MIRAT Long

> MIRAT went Long as of the close of trading on Wednesday, December 3,
>suggesting that it thinks that the Market will go up for the time being.
>-- Frank :-)
>High Return on Investment using Technical Analysis
>Minnesota Long Distance Canoe Racing