World Surveillance Group Inc (fka WSGI)

[lowtrade]

Last year a fellow board member (nerd68fl)taught me a DMI pattern to watch for. It has given me several entry/exit points, which has made me some good money. I'd like to pass it on by posting our message treads below. It needs constant attention on a 10 day chart or shorter IMO. learn it, use it, it works IMO!!! Have thanked him several times. I thought I knew alot about TA and then 3 years into trading for a living, and new friend teaches me some thing new!

If you use big charts java chart, with DMI,RSI,& VOL for lower indicators, it's easy to slide a vertical line to the point ADX crosses DMI- while DMI+ is above and see the jump in PPs on the chart. Good Luck!
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OT:Low in trading stock I operate on DMI there is a pattern on the hourly chart where DMI+ is above DMI- is below and ADX rose from below DMI- into the middle. I ave found this pattern to indicate an increas of >10%, usually a lot more. I stay with the stock until RSI reaches 5 + and strts retracing, where I sell. I don't always get all the move but it is very rewarding. ISO was entering this pattern.
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OT:nerd68fl
Alway like to see new ideas, thanks, I'm now looking for one more piece of the pattern. What time frame do you look at Daily only, 5 day, 10 day 1 month? also do you buy at cross over or when it reaches middle? So far I looked at 5 stocks and see what you see, interesting.

I also trade on rules and stick to them no matter what! Greed is good, but I've also learned it kicks you in the A more then expected! Rules work!
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OT: Low sorry I did not give you all of the pattern. RSI must have been below 50 and be near or at 50 and ADX is best if coming from below 15. This give the biggest bang.

My sloppy typing kept the out criteria to be vague. When RSI passes over 75 look for the down tick. It is then time to leave and count your winnings. This isn't foolproof but usually it is mt fault. I always want a little more that the run wants to give. Discipline pays dividends.
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OT:nerd68fl Thanks
I have rarely looked at MDI and have just spent some time brushing up and now plan to use it more while DDing my future picks on big board stocks.

I can't find any info on the relation of RSI to MDI but your analysis seems to fit the stock movements I've checked. Straight DMI states the ADX shows trend of DMI+ on a trending stock. Basically the same as RSI. Thus if ADX is rising with DMI+ the trend will continue.

PS: I used DMI to look at gtel 1 yr and found that just before Feb run to .19, DMI sets up exactly the same as now! If you want, I'll email you a chart.

It's always good to have another tool in your bucket. Thanks