Zeev's Turnips Patch-No Politics (ZEEV)

[lemming]

Rick,

Actually, the 4th-7th up day is generally the window of confirmation of the new rally attempt. I wouldn't pay much attention to the 1st-3rd up days of ANY rally attempt unless I had an amazing knack for picking bottoms or was following someone (like Zeev) who had this knack. Two warning signs to me would be a one day wonder and a gap up, like we had last Thursday.

No long lasting rally occurs without an accumulation day (1%+ index gain on increasing volume) on any of days 4-7 without breaking the low of day 1 (first up day) to confirm the rally. However, even this does not guarantee its success, as we saw after the 2/28 "confirmation" day before this last decline.

-David