Technical Analysis of Stock Trends

Form flows away from the public.

Posted on Apr 03, 2009 by WHC Bassetti.

Form Flows Away From The Public

 

Robert Bacon, in Secrets of Professional Turf Betting, stated one of the eternal truths of the market, and of any closed universe betting casino.  Form flows away from the public, he said.

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If you’re going to predict, predict often. M. Friedman.

Posted on Apr 02, 2009 by WHC Bassetti.

Also, don’t stand on the railroad tracks in front of express trains.  A couple of days ago we thought the rally might be ending (note:  thought, not analyzed).  Now we analyze that this wave could easily reach one or both of the downsloping trendlines.  These would be analytical points for the wave to exhaust itself.  When this wave started we remarked that hedging and scaling out were valid tactics.  Profit protection is now in order for bears.  Nonetheless you might pay attention to the economic realities, the most important of which is

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Speaking of commodities…

Posted on Apr 01, 2009 by WHC Bassetti.

Here is an issue that is shaping up as a Kilroy (H&S) Bottom.  The book says you shouldn’t buy this until it breaks the horizontal line, but we were always getting into trouble for coloring outside the lines.  In fact we were always in trouble period for breaking rules.  We bought some ourselves, based on the pattern and the recent volume and the power bar.

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