Wednesday, April 5, 2006
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For those of you who have inquired, the "Yi" is my own proprietary overbought/oversold indicator. A +10 reading generally indicates we are overbought in the overall market, and -4 or a -5 reading is telling us the market is a bit oversold. The "zero line" in between the plus and minus readings will sometimes act as an area of support or resistance, so I tend to keep an eye on that level also. A reading of +20 is extremely overbought, and a -10 indicates the market is extremely oversold.
2 comments:
GRZ is up another dollar since you posted this.
Yes, technical analysis certainly is an imperfect art is it not?
But my account is up this year due to the overall "batting average" of my work, so I am not unhappy.
Please do not expect perfection on all individual signals or opinions, because no one can do that anyway.
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