----- Original Message -----
Sent: Sunday, January 06, 2002 6:39
PM
Subject: Re: [sharechat] WAM
Hi Nick and other chatters.
Plans for WAM.
I apologise to chartists who can easily read the
candles, but there are a number of budding chartists who
are interested to hear all views re chart pattern recognition.
This is only my humble opinion, and candle
charting is a bit like predicting the weather - we are working with forces
beyond our control, and outcomes are occasionally different to what we
expect. The constraints of low volume also make predictions hard, but I like a
challenge, so here goes. I read it like this - the candle pattern of 24th and 27th Dec form a tweezer top with hanging
man and jointly making a Harami pattern. (Yes it gets more
complicated !). The halt at $3.04 certainly shows a level of bearish
rejection, and the test on 3rd Jan had the bears forcing the bulls
back. Whichever way you look at it, it
would seem to be a reversal signal. I see Mondays and Tuesdays prices
being no higher perhaps a little lower - don't quote me on that. So it depends
on your level of fear whether you hang on or not.
Here are the various stop loss
points.
1.5 ATR $3.01
2 ATR $2.98
2.5 ATR $2.95
3. ATR $2.93.
Or support could be found at RH2 $2.83 (yep, it's
THAT precise). Should that fail to support - hold on to your
wallets, because RH1 $2.72 is the next support.
Other signs to be aware of - both Macd Histogram
and RSI are falling, and the Aussie market is reaching a point where it
might take a little breather, with a possible knock on effect to the NZ
market. So, is there any good news, - well, Para SAR has not
indicated a sell yet, and prices are still above the 9 day EMA.
So, please make up your own minds, but I consider
it a sell for a short term trader, with perhaps a buy back again at lower
levels. Long term traders may feel comfortable with the usual roller coaster
ride.
Anyone else want to make some comments
?
Andrew
Anyone want to see what the All Ords looks like
currently ??????????????? If so I can post the chart as a WORD
Doc.
----- Original Message -----
Sent: Sunday, January 06, 2002 12:43
PM
Subject: [sharechat] WAM
I have been enjoying the posts over the last week or two,
cheers.
Just wondering what the plans are for exiting WAM. In my
experience, guesswork and gut feel isn't usually the most efficient sell
strategy.
I would suggest that those who are currently trading
WAM might want to consider taking their short term profit soon. Having a
stop order below $2.98 or $2.95 might be a good way to avoid participating
in the impending drop in price.
For those with a longer term view. There will probably be
a good oppotunity to pick up a few more shares around $2.80-$2.90. I might
be completely wrong, but thats what the fish entrails say
today.
Regards
Nick
M