chart, page-94

Hi Musashi and any other chartists around on a wet Sunday morning,

2 questions from a novice (i.e. wannabe) chartist if I may?... I have done some preliminary research to understand candlesticks, bollinger bands, MACD, slow stoch etc and am slowly putting it together. I also recently downloaded the "trade the truth" publication recommended here on HC and hope to read it soon...

So, with that background, you have said that you don't need to know anything about the FA and that the charts will guide your entry and exit points...

Looking at LYC, there have been times when an upswing seem indicated by the 3 month and intra-day patterns... MACD heading up, slow stochs displaying nicely, candlestick looking good but the run either never takes off or fizzles shortly after.

My impression is that the piece of the puzzle I need to add in is volume... in other words, volume indicates the likely strength of the movement.

My first question relates to the emergence of patterns on the intra-day vs longer-term charts. Presently, I use the intra-day view to determine prospective changes and then look to see where that sits as against the 3 or 6 month views. In other words, is the apparent change consistent with the longer-term pattern. Is that a valid approach?


Second question is what you regard as the lead indicator and then what you use to confirm? I only use the Comsec charts at the moment and I don't feel I have found a reliable lead indicator. I look for a consistent trend emerging in several indicators - MACD, slow stoch, money flow etc but would be genuinely curious what order you interpret these in?

Sorry to so blatantly pick your brain but I have been helped a lot by your posts and would appreciate your insights if possible... especially as the much heralded LYC TOL announcement draws nearer.

Thanks.