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Re: None

Wednesday, 11/23/2005 2:43:03 PM

Wednesday, November 23, 2005 2:43:03 PM

Post# of 286607
"Golden Cross" opinion...---I have played many of these and I believe that the 50ma cross above 200ma is just the first signal to watch. Typically the stock will dip following the actual cross and consolidate for a short while. once it finds support it will begin a new swing to the upside. The "Confirmation" of a "Golden Cross" as well as the entry point for this play can be found once the stocks makes a "HIGHER HIGH" than the high on the original break. I like to buy this Breakout. Also because I use a new high breakout as my confirmation of the golden cross, This can easily be represented by drawing a Darvas Box between the high(resistance) and the support. I typically place my entries intra-day on the morning of this breakout, just above the top of the box. all imo as usual. remember this is a long duration trade

200 day Moving Average.

When a stock’s current price breaks above its average price for the past 200 days, it is considered to have broken its long-term trend. This is bullish because it means that every new buyer of the stock is willing to pay more than the average price paid for the past 200 days.


When a stock’s current price breaks below its average price for the past 200 days, it is considered to have broken its long-term trend. This is bearish because it means that every new buyer of the stock is willing to pay less than the average price paid for the past 200 days.