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Cush

10/11/02 9:18 AM

#26 RE: Frank Pembleton #24

Michael, I don't use an indicator to establish stop-loss points. In fact, I don't use stop loss orders, at all, unless I'm going to be away for extended periods.

Most days, I sit back and read while the markets are active.
I have the tickers open on my screen, and the tv on, muted, just in case anything major happens in the world.

On the charts of stocks that I'm active in, or considering getting into, I have trend lines drawn (off the highs and lows, three points usually) and support and resistance lines that I've drawn.

If a stock price is dropping, but approaching either a trend line or a support line, I'll consider closing the position if it drops below either line (and looks like it may stay below).

If I was setting stop-loss orders, I'd use the same parameters.
I'd set my stops just below the support lines.

Sometime after the open, I'll post a chart with the sort of lines I mean.


As for StockCharts.
I couldn't do without it.
I think the Extra package is one of the better values out there.

A real key to developing TA skills is, IMO, looking at charts, lots and lots of charts. Over the years, I've looked at and studied hundreds of thousands, I think.

StockCharts.com helps me do that efficiently.

And regarding Murphy-Morris.
It's a rare day when John Murphy's book, Technical Analysis of the Financial Markets isn't open on my desk.

That was a good move for StockCharts.com

Cush


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Cush

10/11/02 6:46 PM

#28 RE: Frank Pembleton #24

Hi Michael. Stop loss chart.

This is a kind of cluttered example of how I usually decide where I'll execute my stop losses.

I've used ATY on the TSE.
I haven't recently had a position in ATY.

I'm showing the use of a trend line or a Support/Resistance line.

ATY on TSE Stop Loss Points.



Cush