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Re: mikeanthony post# 23361

Monday, 11/13/2006 8:28:52 AM

Monday, November 13, 2006 8:28:52 AM

Post# of 62520
I just like to point out something..

Ken, our mentor, Usually encourages us to go long on stocks that are in gold rush mode or pre-gold rush mode, because those stocks have higher probability for growth, and to avoid stocks in quicksand mode or after goldrush mode.

Now, since the landslide setup is the exact opposite of magic box set up, then we should short stocks in quicksand mode or after-goldrush mode cause they have higher probability of decreasing in value, and try to avoid shorting goldrush or pre-goldrush stocks (unless it is a hit and run type)

AAP as Ken said was in pre-goldrush mode and then went into gold rush mode on Nov 7th. That is why (in my opinion) the first landslide setup did not last nor did the second setup. Also, as I understand, goldrush stocks have a higher chance of bouncing from the MA(20) and form a supported magic box. And if you see the ADX(5) indicator you would see that +DI(5) is still dominant which is a sign of growth.

To me AAP is a stock to own rather than to short

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