Dow explodes (in minor way)

100305induJust in case there were any doubts in your mind this power bar should put them to rest.  A buy or add-on signal.

The Basing Point stop was threatened but proved to be well placed and preserved long positions.  If you are new to this kind of investing you should applaud and observe the power of the method.

Interestingly the rectangle which formed into December had one false breakout on the upside, and if price clears the high it will have had two false breakouts.  We should have called attention to price action a little more closely in February.  When the first Feb high was cleared on strong activity it amounted to a buy or add-on signal.

The last few days have shown strong upside activity in numerous issues.  An environment safe for buying.

Over the next few days or week we will be posting an extremely interesting study or studies on returns which might be expected and/or achieved with our methods.  Before you read these letters you might think about what sort of return you think should be achieved by the general investor and a little old professor with a ruler.

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This Post Has One Comment

  1. alain

    Nasdaq and Russell seem to have exhaustion gaps
    Alain

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