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    June 8, 2006
    This newsletter is for educational purposes only and subject to Incredible Charts Terms of Use.


    Rectangles: Bull & Bear Signals

    Rectangles are one of the most reliable chart patterns when they appear in close proximity to support or resistance during an up-trend. This also applies to other short-term patterns such as pennants.

    Read more:

    Signals in an Up-trend

    Signals in a Down-trend

    Incredible Charts: Projects

    Projects consist of a set of indicators, trendlines, captions and default settings. They do not contain data for specific securities. All data is stored in a central folder so that you can access securities from any open project.

    Right-click and select Copy Shortcut to link to this paragraph  Advantages

    The primary purpose of projects is separate daily, weekly and monthly views, each with their own default view and indicator settings.

    Projects also enable you to create:

    • More than one trading system;
    • Separate indicator studies; and
    • Studies specific to a key index or security (see My Favorites below).

    And pre-set files [in square brackets] save time setting up [Multiple Moving Averages] and other complex indicators.

    Right-click and select Copy Shortcut to link to this paragraph  Default Project

    Incredible Charts always opens with the Default project file. We suggest that you use this for your most popular settings.

    Right-click and select Copy Shortcut to link to this paragraph  Time Frames

    I use the Default project for my short time frame and others for longer periods:

    Project Name Time Frame Indicators
    Default 3 months Volume (daily); Twiggs Money Flow (21)
    Daily 6 months Volatility Ratio (Schwager 21); Twiggs Money Flow (21)
    Intermediate 18 months EMA (100); Volume (weekly); Twiggs Money Flow (21)
    Weekly 5 years EMA (100); Volatility (63); Twiggs Money Flow (21); AD
    Monthly 10 years EMA (100); Volatility (63); Twiggs Money Flow (21); AD

    Right-click and select Copy Shortcut to link to this paragraph  My Favorites

    Apart from separate time frames, I use several specialized projects:

    Project Name Default Settings
    P&F Point & Figure, box size 5, reversal 2;

    P&F Index Point & Figure, box size 1, reversal 2;
    EQV Equivolume, 3 months;
    Sectors Sector Analysis;
    Gold & Oil Gold-oil ratio, 30 years, data imported from disk;
    Yields 10-year T-Note Yield and Price Differential with 13-week T-Bills;
    Wright Wright model, 25 years, US Fed data imported from disk.

    Right-click and select Copy Shortcut to link to this paragraph  Project Defaults [F6]

    Use the F6 shortcut key or View >> Project Defaults to set default views for each project and make browsing easier.

    • Default Security -- only set this if you want the project to display the same security each time it opens
      (examples: d_gold in my Gold & Oil project, and tnx_in in the Yields project);
    • Time Period;
    • Chart Interval (i.e. Daily, Weekly or Monthly bars; Equivolume; or Point & Figure settings);
    • Price Scale: log or normal;
    • Chart Type: OHLC, Candlesticks or Closing Price.

    For further details:




    Never doubt that a small group of thoughtful,
    committed citizens can change the world.
    Indeed, it is the only thing that ever has.

    ~ Margaret Mead (1901 – 1978) US anthropologist


    Regards,
    Colin Twiggs






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