----- 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
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