Subj : Market Action
To   : All
From : Paul Rogers
Date : Fri Sep 09 2005 06:27 pm

Content-type: text/plain

Good looking chart today.  Prices stepped higher twice during the
morning and didn't give an inch.  One small problem, volume didn't
confirm the move; up just slightly to +7% above average.  That's not
enough enthusiasm to make me a believer.

While on the subject of strategies and tactics...

Most newbie investors who got in the market 10 years ago didn't have
any.  They bought what everybody else was buying.  That's a strategy?
They hoped they wouldn't lose money, but they had no way to prevent it.

Those of us who've stuck with it have developed something we use, but I
keep preaching the need to come up with real strategies and tactics, and
knowing which is which.  We all want to make money, and we don't want to
lose it.  That's a start, but it's too simple to be put to use.  Gotta
work on that a whole lot more!

Consider this.  Which strategy strikes a chord with you?  Minimizing
your maximum loss, or maximizing your minimum gain?  Those are a lot
more complex.  It seems like they're going in two directions at once.
We'd like to do both at once, but just try for one at a time first.

As parts of a strategy the maximum losses and minimum gains involve
projecting the results of different methods investing, and that takes
some good information about the performance of those investments in
different circumstances of the economy.  Rather than trying to predict
the ecomony, one plays out each of the major possibilities.  Then one
evaluates which of the methods best achieves our goal.

Now, this is a very analystical process--more than something one can
plan on the back of an envelope.  But it's the sort of exercise
professional investors do.  Think it could help you?  Think about it!

 Price    Vola-    Momen-   Volume   Oscil-   Summ.
 Change   tility   tum               lator    Index
 -__+     -__+     -__+     -__+     -__+     -__+

 _>__     _<__     _|__     _>__     __>_     __<_     09/02
 ___>     _<__     __|_     __|_     __>_     __<_     09/06
 __>_     _|__     __|_     __|_     __|_     ___|     09/07
 _>__     _>__     __|_     __|_     __|_     ___|     09/08
 __>_     _>__     __|_     __|_     __|_     ___|     09/09

Timing Signals:  I don't use or recommend timing signals, but they're
fun to watch.  If I did though, well, I might use something like this.
(Be warned!!  It tends to whipsaw around signal points!)

Last Signal: BUY        Date:  09/06/05 S&P:    1233
Winner or Loser:  tbd                   By:     tbd

See my market tracking charts for '03-'04 and my investment strategy
study at my website(s):
http://www.xprt.net/~pgrogers/Pers.html
http://www.geocities.com/paulgrogers/Pers.html



Paul Rogers, paulgrogers@yahoo.com                       -o)
http://www.angelfire.com/or/paulrogers                   /\\
Rogers' Second Law: Everything you do communicates.     _\_V

.... Archeologist: one whose career lies in ruins.
___ MultiMail/MS-DOS v0.35

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 * Origin: The Bare Bones BBS (1:105/360)

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