White Lightning

[dalcindo]

DynoDave, Re: ITUI

Here is my honest opinion and read on this stock. First, your chart:

ITUI, 4-MO. Daily Chart
1 - 2-RSI is squeezed taut compared to 14-RSI: this is relatively good indication that 14-RSI may imminently give up its attempted ascent to above 50. This bearish scenario gets a supportive vote by the following fellows:
- a: Historical resistance at 0.14 (many, not all of course, buyers from 12 FEB to 17 FEB 2007 will sell this one off at that price level to "get/break even")
- b:Both CMF and MFI have declining tops over entire 4-MO. period
- c:MFI indicates declining tops over the entire 4-MO. period
- d:STO provided a head-and-shoulder formation; hooks up between 30 and 40 (not as potential as hooking up at below 20 (Very bullish, or 30: bullish if RSI had returned from > 60 and rested > 40. Here instead, RSI met criteria for BEARISH transitional trend - See RSI's ROE in my public list for more clarification on this)
- e:ADX-14 points toward declining trend formation

2 - Now, on my 1-YR, 6-MO, 3-MO and 5-Day chart, I STAR-rated the following periods based on my indicators:
- a: 1-YR.: ( * * )
- b: 6-MO.: Bearish
- c: 3-MO.: Bearish
- d: 5-Day: ( * * )
See STAR rating system in the link provided in signature

Above STAR rating is based on whether the RSI belongs to a BULLISH, BEARISH, or any transitional (bearish transitional vs. bullish transitional) trend COMPOUNDED with STO behavior (See point "1-d" above for example).

Other factors that enter the play are in this particular order:
1 - 9-RSI vs. 14 RSI (absolute core)
2 - 14-RSI vs. its 14-MA and its 45-MA (absolute core)
3 - Intrinsic RSI trendlines (absolute core)
4 - Intrinsic STO trendline (Relative use)
5 - Intrinsic MFI trendline (Rarely used, inambivalent or sideway plays)
6 - Volume''s 14-MA vs. its 45-MA (Rarely used, inambivalent or sideway plays)


Caveat - After getting into one's own system, one develops a second nature, or a "Third Eye" about this thing. Being wrong is good, as it helps refine the system. So, the goal for me is not to be right, as I believe no one can predict any price direction, but to be close enough to a system as to become intuitive about its interpretation and probable move in price. The result becomes a reflex, like removing one's hand from a hot pan before even feeling the heat. I first had to learn to intuitively remove the cash from a losing position before losing it.

I hope this helps. Sorry if it sounds a bit esoteric.

Sincerely,

David