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Re: kuwlness post# 24118

Friday, 04/09/2010 2:20:25 PM

Friday, April 09, 2010 2:20:25 PM

Post# of 111214
kuwlness,

A/D line can easily be manipulated. In short here is how it works:

You have a day high and a daily low. If the price closes BELOW the midpoint of high and low, the A/D line will drop. If price closes above, it will raise, and if in the middle it will stay the same. We could gap up 1000% tomorrow and close just below the midpoint line (so say for a 900% gain instead) and the A/D would still drop.