AR 7Previous Slide Next Slide
The Median Line Method for Foreseeing Trends
Below is a stock market index which you will find valuable in anticipating what your stocks are going to do, whether they will continue to rise or fall and how fast. These are the facts everyone wants to know, and this method has not been revealed before to the best of our knowledge. Those who acted on this method got out of their stock either at the end of February or April right near the top.
Start with any pivot such as low pivot 1 and draw a line bisecting the distance between pivots 2 and 3. On April 1st all the information you had as to prices ended at pivot 3. This bisecting line is always a test barrier, whatever pivot you start from. If prices fail to rise above the barrier, the rise is finished, as turns out to be the case at pivot 4. Next, as time passes and new prices develop a pivot at 4, start at pivot 2 and draw a line bisecting 3 and 4. You will see that this dash line is steeper down than the up?slope of 1-4. So this is like a vector diagram of forces showing the trend will be steadily down along the dash line until medians point upward again. So continue to draw these lines so you may get in near the bottom.
Similarly in a rising market, you will notice that the fastest gains are always made when bisectors from higher and lower pivots point in the same direction.
This method is superior to the Moving Average Method of recognising Trends in that there is less 搘hip saw? and closer positions to the bottoms and top pivots are possible. One reason for this is that there is a probability that when prices do pass through the bisecting lines, they will return to it before continued movement in the newly indicated direction. (Rule #7 ?Penetration Rule)
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:26 编辑 ]
AR 8Previous Slide Next Slide
Hagopian抯 Rule:
When prices reverse trend before reaching a line at which probability indicates such a reverse could start, proper action may be taken in buying or selling, as soon as prices cross the trend line they were moving along before reverse. (Mar. Corn, e.g.)
A large countermove is indicated and confirms the first action as above, when prices cross the first Trend Line sloping away from the original line. This line may be a trend line, a median line, a reaction line, or a moving average line. The rule still applies.
For example of May Soybeans chart, UTL2-4 is the first UTL to slope away from 2ML3-4, UTL1-3 the first on Pork Bellies, DTL2-4 and UTL5-7 on Sugar, and UTL2-4 and b-c and c-d on Wheat. The other TL that can be drawn from the low pivots, parallel or slope toward the original 揃arrier Line? whichever type of line we choose to measure from.
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:28 编辑 ]
AR 9Previous Slide Next Slide
For those whose tuition is fully paid we show a weekly price range chart for Winnipeg Berley nearest Futures, and the 3 steps in practical analysis of such a chart to assist in realising gains.
(1) We begin to wonder about the orderliness of price movements in stocks or in commodities, we note that whenever there is a sudden drop or rally, it is a signal that a series of 10 degree T.L.s (Trend Lines) can be generated as drawn in on this chart, each a 揌orn of Plenty?
(2) Gathering data and taking measurements on numerous active charts shows that these drawn?in T.L.抯 are frequently helpful in determining the pivots (buy and sell points).
(3) To find out just how orderly and useful these relationships are, we note that the rise can go on without any concern to those with a 搇ong position? provided the price movement stays within the first two 10 degree lines as shown.
Upon crossing the 20?(degree) line, prices frequently drop to the 30?line, giving opportunity to add to one抯 long position, or 損yramid?for possible resumption of the rise along or within the 40?line. Frequently, crossing the 40?up-trend line, or UTL means beginning a substantial DTL (Down Trend Line). This is very frequently true if this downward counter move is preceded by a sharp vertical peak. The top of the price movement shown here is a rounding top, as named by Chartists.
Obviously the slope of the TLs depends upon the relative proportions of the coordinates used by the maker of the chart. But by counting how frequently these pivots occur, and the exactness of fit for each particular stock or commodity charted, indicates the reliability of the probability for their reoccurrence. And action can be taken when the odds are strongly in your favor.
The words above that are underlined are all terms used in the study of Probability. Reference to the chapters dealing with Frequency, Reliability, Exactness of Fit, in Monroney抯 揊acts from Figures? go into their meaning and application in detail.
Upon request you will be supplied with Stephen's Stocks or Horsey抯 Stock Picture if you wish to apply the various aids provided by this course to particular stocks that you own or are interested in. Also you will be supplied with Dupont抯 Chronoflex if you wish to fasten this transparent drawing paper over your charts in order to avoid drawing-in the various lines and measurements on the charts directly.
We have also designed several devices or tools, in the use of which protection is provided through the US Patent Office, which will make it easy for you to apply the principles of probability which we have developed relative to price movements. These methods will enable you to continue to make gains similar to those made by others in this course who followed the indications properly.
Alan H. Andrews, Director
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:29 编辑 ]
AR 10Previous Slide Next Slide
The NY Silver chart below was drawn by a new member, Mr. Edward Palm applying the Foundation抯 揌orn of Plenty Study? Mr. Palm has made, and is making an exhaustive Study of all available scientific Courses relative to Price Prediction, and was before going into business for himself the writer of the periodic letter sent to customers of one of the largest Commodity Firms.
The lines below from the 揌orn?method illustrate how prices fluctuate along these regular geometric 10 degree radial lines as well as between them.
Another Course member has written us that he has made very satisfactory profits from the 揌orn?method and it is apparently his favorite course method.
It seems natural for each person to select a method that appeals to him. One of our friends who is one of the County抯 largest Traders told the writer that he liked the Moving Average Channel line method for although it didn抰 get him in always at the bottom or out at the top, it did give him profits from the long trends. However this man was constantly on the lookout for other successful methods. For there may be frequent times when other methods can prevent some of the 搘hip?saws?common to side wise movements of prices in their fluctuations.
You might like to put a piece of tracing paper over this chart and start your radial lines from the low on the last of November 1973 at the 275 area and see the similar fluctuations along and at these radial lines. Such practice certainly gives the investor a 揻eel?of the market.
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AR 11Previous Slide Next Slide
Rule #1. Where prices are always headed Rule. You course members are among the fortunate few to be able to draw a straight line and know that prices are headed toward that ML. Very few investors have ever applied this ML principle of statistics to price fluctuations, and we've never seen this in any books on investment. So very few know that prices are always headed toward the newest ML.
Rule #2. The Rule of coming opposites applies all through life. E.g., "Blessed at they that mourn (when the price of their stocks fall), for they shall be comforted." For the value of their savings that they had put into stocks will fluctuate up again. And find the 揥es Usto?also in the New Testament and in prices.
Rule #3. "Turn your mind about," or "Rethink, for all good is at hand." We should mentally prepare ourselves for the coming reversal in prices, and other affairs. Here's one way for example, that you members who know the ML rules can use: When prices are skyrocketing upward, we do this preparation by thinking "If prices pivoted here today at this price, I'd draw a new ML bisecting the distance between today's price and the price from which the rise started." And we know now that if this is a Major Pivot, prices will fall rapidly to this new ML. Profits from such drops are big and quick.
Rule #4. Rule for anticipating major P's. If after a decline you can count four previous P's, the fifth one is highly probable to be the one from which a new trend starts.
Rule #5. Rule for easily detecting the major P from which you can make a quick, big profit is to watch for the EP , IEP and SEP formations.
Rule #6. The other reversal rule is that prices tend to reverse at or near any ML, as well as at any extension of each ML. And also at any MLH or extensions of MLH.
Rule #7. The Penetration Rule is that whenever prices gap past, or plunge through any ML, there is a high probability that they will quickly return to it temporarily, and then resume the trend they had before they gapped or plunged through.
Rule #8. Price Failure Rule; When prices fail to reach the ML as shown by a space between the P of reversal and the ML, the probability is that this price reversal will go further than it did on it's approach toward the ML.
Rule #9. The price failure rule is negated when the next price trend is also a failure in reaching the ML. This is almost invariably a signal (a shakeout) of a big, fast move in the direction indicated by this last "space."
Rule #10. Reliability of ML and (3) as CLs on weekly and monthly range charts is good for the MLs but as significant Ps may be hidden in any weekly range, you抣l have to make allowance that this happens.
[ 本帖最后由 hefeiddd 于 2008-4-19 07:30 编辑 ]
AR 12Previous Slide Next Slide
This chart shows you how to draw the Median Lines (ML) from each pivot (P). You start the line from each pivot and bisect the distance between the next two pivots extending the line for the next pivot will 80% of the time be at or near that ML. And when late prices meet this ML extension as shown in the months of September and November you see that you will have price fluctuations around the extension of the 6ML7-8. This enables you to be one of the few investors who always knows in advance the probable place where a reversal of the trend will come.
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You see that a parallel has been drawn from Pivot 2 and another from pivot 3. These are abbreviated with Capital letter H since that letter has two parallel vertical bars. So when you want to distinguish them from other lines you would letter them 1MLH or 2MLH, the numerals refer to the number of the pivot from which that ML is drawn. When prices drop below that H that slopes upward it signals Sell. And when prices rise above its extension the signal is Buy. And the signal is the same when the ML and its H slope downward. A profit is probable if you reverse positions when prices meet the ML. Even when prices pass beyond the ML a reversal back to the ML is probable even though that penetration predicts the probability of a further move of prices in the same direction as when they penetrated that ML.
[ 本帖最后由 hefeiddd 于 2008-4-19 07:35 编辑 ]
AR 13Previous Slide Next Slide
Study what days of the week do Ps fall on ! Here are a few for you to add to. You抣l see on your March Soybean Chart that either a P or a gap (which is 2 Ps), since June 1st has come on every Monday except 4 days and a holiday. This includes all minor Ps of either ranges or closes. A P fell on every Wednesday except 4 plus 2 holidays. When no P on Wed it came 3 times on Thursday and the rest on Thursday. On Hogs all Mondays except one and a holiday or two. Major Ps about half come on Monday.
Use of monthly range charts and sliding parallel: The enclosed Egg Chart that was sent you before to have as a confirmation of the long term probabilities as indicated by the short period range charts is a good sheet the practice the use of ML, MLH, SH.
You抣l see the ML starting from Aug. 1960 and after prices pass through the lower MLH signaling that lower prices are eventually coming, prices continued to rise for 4 months along the lower MLH as they frequently do. But if you draw the little dash line (SH) you see your sell signal when prices drop through in August at about 37 for a nice 7c drop during the next 4 months. We抳e drawn another sample ML from that Aug. 1961 top and a SH through the top of the range in May of 1962 with the buy signal when prices rise above it. You can see that when prices drop through the MLH of this ML from Aug 1961 they rally, and the rally from this MLH that starts in Dec. 1964 at the 26 buy area is profitable. Use tracing paper and fill in the other with B & S points and add up your paper profits.
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:42 编辑 ]
AR 14Previous Slide Next Slide
All fluctuations in prices are changes in the price level about the ML first presented to investors in this Case Study Course. Each ML starts from a pivot or turning point in trend and is drawn so that it bisects the distance between the next two Pivots (Ps). Then a parallel is drawn from the second P, and another from the third P, as shown on these charts below of leading Broadcasting concerns listed on the stock exchange.
On the ABC chart below you see drawn the ML, the two parallels abbreviated MLH, with UMLH denoting the upper one and LMLH the lower. Also note the minor ML that starts with the low in Oct.1972, bisecting the distance between the high in Nov and the next low. When prices at the close on the second week in February drop below the LMLH at 39 during the second week in January that is your signal to sell short. Also another such signal was the gap-down in the third week in Jan. Further confirmation of the correctness of this short sale is given when prices drop below the major MLH the last week in Jan., at 35 area. By end of ?3 price had dropped to 19. So gain was about 33% in the 4 months shown on chart below or at rate of 100% yearly. While the mathematical probability of prices reaching the latest ML is high, you抣l note prices here couldn抰 reach it, a sure signal of a big drop ahead. Capital Cities chart and the others use the same method to show you where to buy, via passing the MLH, and on a 揵reak-away gap?
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:43 编辑 ]
AR 15Previous Slide Next Slide
Case Study Course Method of use of the Mini Median Line (MML) and parallel (H) lines, to determine entry and exit points enabling you members to be constantly either long or short, thus making profits on every up and down fluctuation on any stock or any future. Use of the MML method at P5 or P7 is especially important after probability shows end of trend is near.
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:44 编辑 ]
AR 16Previous Slide Next Slide
Warning Line (WL or W) of nearby shift of major trend: When you draw the MPL from P1 in Sep ?5 your CL to measure Action and Reaction distances from, you see that this MPL line is also the ML. So 1ML2-3 is also the MPL. So by measuring the distance (A or Alan marked on chart) that P2 is from that CL, you know that P3 will be where prices meet the R1 line. And if you draw another H line the same distance that A1 and R1 were from the CL, that line will be your warning line, that indicates that the decline signaled when prices falling from P4 crossed the MLH of 1ML2-3, was about to end. Similarly with P2MLP3-P4, you draw the 揹ot dash?warning lines that signal you to look for another P from which reversals occur. Since a Gap is 2Ps you see Gs at P6 and where prices rise for a fast move up in Apr ?8 as they cross the P6ML7-8. You抣l also see that even where prices pass the W lines they usually double back to it at least even if the original trend toward that W line is resumed. But usually there is a worthwhile reversal as shown by the W for the PrML6-7 where prices reversed from the 370 area on signal at 360 in AP ?8 to the 320 area the next week.
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:44 编辑 ]
AR 17Previous Slide Next Slide
Median Line #2: From a P3 after a change in Trend draw a line bisecting the distance between P2 and P1. Then using this ML#2 as a CL draw the usual A and R lines in order to see the strength as indicated by the ability for prices to recover back to each R line that was past. Relative strength is also indicated by recovery to the latest minor ML after each drop or nearness to the latest ML.
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[ 本帖最后由 hefeiddd 于 2008-4-19 07:45 编辑 ]
AR 18Previous Slide Next Slide
Below is a modified Schiff ML. As you can see the starting point is not under the top close of 12th September, but at the half way mark of the line sloping from that high to the low close on Oct. 23. And it bisects the distance between the close of that date and that of the next P of high close on Nov 13th. You notice that the low on Dec. 16 reversed the trend when it nearly touched the modified Schiff ML. Next you see that there is always a reversal or gap when prices reach any of the WLs. Note that the usual Schiff ML calls the first low P on Nov 28 and the modified ML indicates the low area on Dec 16th. But prices tend to Pivot when meeting any of these ML. But doesn抰 the slope of coming trends more closely follow or H that of the mod.ML.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:19 编辑 ]
AR 19Previous Slide Next Slide
Where only Schiff MLs were used on the July Lumber 1982 weekly range chart you see some profit making signals by drawing the H and the WLs from the usual Pivots of the Schiff MLs. And as Mr. Schiff told members 搖se the weekly charts for overall picture but zero in with the daily charts?
Notice the probability that there will be a good profit from the reversal each time prices reach an H or a WL as well as when prices again reach the original ML. For example prices climbed back to the 7 in 2 weeks to the Schiff 5-6ML whereas if the ordinary ML had been used there would not have been any sell signal due to prices reaching the ML as they did at 7. The dotted line is for the H or the WL, and the dash line for the ML. Notice how prices dropped back to the parallel of that nearly horizontal H from 7 for a one week rise signaling a big drop ahead which carried prices below WL#1 almost to WL#2 and then a made a 5 P Elliot rise to above the horizontal H of Schiff ML5-6 and then started a new ST of 5Ps from 9 to 10 reversing at the WLs repeatedly, for good profits each time.
There was not space enough to draw the other parallels and ML lines but if you put a transparency over this chart and draw those lines in, you will see that they too provide signals for additional profits. So remember to use these Weekly Range charts to increase your profits by using the Schiff MLs.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:22 编辑 ]
AR 20Previous Slide Next Slide
Lack of faith, inability of unwillingness to believe, a search for reasons why to avoid taking action seems to be the reason that more people failed to avail themselves of the hundreds of percent profits they should have been making since December 1972. Below are a few of the charts showing the exact dates and prices where purchase or sales were indicated by the methods presented to you only in this course. Remember what Mr. J. P. Morgan said, 損rices will fluctuate? There are even quicker profits ahead for you on the 揹own?side after these rises are over.
And those of you who haven抰 the time available to give to commodity trading can use the principles just as successfully to make 100% plus yearly from your stocks. Or you can follow the 搊rders indicated?and positions of the weekly Course letters and just phone your broker. But be sure you give the orders, and 揹on抰 let him advise you?is the advice given by nearly every successful trader.
You figure the percentage profits on margins of 10% of the total value of each contract. Perhaps next week we抣l find time to give the percentage gains made by all who acted on these course signals.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:23 编辑 ]
AR 21Previous Slide Next Slide
Case study course on applications of mathematical probability and morphology to prices
The Action and Reaction (or AR) Rule: This Rule was first applied to price trend changes by the late Roger Babson. He adapted it to price movements from Sir Isaac Newton抯 scientific law that states 揂ction and Reaction are equal and opposite? He stated that his fortune of over $50,000,000 was due to this principle. In gratitude to Newton, he established the Gravity Research Foundation now located at New Boston, N.H., and went to England where he was able to buy Newton抯 former home. He then transported the study where Newton made his discoveries to the Babson Business Institute, and you may visit and sit in the this beautifully paneled room at Wellesley Hills in Babson Park. The writer, your director was presented with some apples and said to the descendents of the apple tree that Newton is said to have been sitting under when the fall of an apple started his train of thought leading to the important laws that he developed, relative to gravitation.
You can realise that a principle such as this AR Rule that produces such profits is worthy of your attention and understanding. For once you understand how you can apply this Rule to make money for yourself you are on the road to an independent fortune of your own. Colleges have endeavored to impart the essential knowledge for you to qualify for a profession or job through which you may make a living. But do you know of any college that had given any courses on how to make money ? Mr. Hunt of Texas, reportedly one of the world抯 richest men has stated that college education does not seem to be of much help in fortune building. Mr. Ling of Ling Vought Temco who made the largest check of over 400 million was a Drop-out. Ted Warren who made a fortune in Commodities never finished grammar school. All these men needed was common sense and a desire to become wealthy. So too may you through these Course Studies apply these principles proven to be the important ones by men who have become affluent, principles never elaborated anywhere except by this Course you are now taking.
In order for you to use this AR Rule mathematically, you need a center line about which to measure the Action of the past, with the Reaction in the future. Such is the marvelous order in any random movements such as occur in price movements in free markets, that you will find many lines can be used as center lines, To name a few of these, the fan lines you have just studied in the 揌orn of Plenty?studies charts are one example. Try it yourself on any chart and see how this Rule will enable you to sell after rises and buy after declines. The zero pivot to the four pivot is another useful center line. Lines drawn through three or more Pivots are important center lines to measure from, the more pivots such a line passes through the greater its reliability. Each line through two or more gaps in price ranges is another. Your Course will furnish you with examples of each of these center lines, but now you should test your understanding of how to draw these AR lines on each of the final lines on your 揌orn of Plenty?charts. To avoid confusion from too many lines on each chart, put tracing paper over it and draw the AR lines about each rib of the fans. See how you are provided with the knowledge of buying profitably after declines, and selling profitably after rises. Loss comes when you don抰. The method of doing this you find in the 揅ourse method to Increase Your Holding? and the accompanying International Minerals and Chemical Chart (IGL). Alan H. Andrews, Director
AR 22Previous Slide Next Slide
THE ML-MLH STUDY OF FLUCTUATIONS APPLIED TO RECENT TEMPERATURE FLUCTUATIONS IN FLORIDA: 1966 TO 1977
On a long distance call today from a Course Member he enthused on his profits from Bellies by use of the ML Method.
To show that this is a law of nature whenever there are fluctuations you see on the right a chart of high and low temperatures here in Miami during the past three months that corresponds to the high and low daily price ranges on our futures or stock chart.
One of the benefits of using this method is that it shows us the mathematical probability of going beyond previous Ps.
For example when you draw 1ML2-3 you see that the extension of that line passes well below the lower 4 which came on Dec.30th. If this was a price chart we抎 surmise that prices were too strong to drop to that ML and that therefore the probability is that the P at 5 would be higher that at 3. That is precisely what happened to the temperature, on the daily low scale line. Similarly the fact that upper 5 was not higher than 3 indicated weakness there and the probability that 6 would be lower than 4 as actually was the case. Where this is a price chart such information adds to your profit.
Again when you draw 5ML6-7 you see that its extension is below 8 and that the probability therefore is that 9 will be higher than 7.
When you draw upper 8ML9-10 and you see that a big drop is indicated because the fluctuation failed to reach that ML.
But now draw the lower 8ML9-10 and see that the 11 is well beyond the Upper MLH. Empirically it has been observed that this apparent excessive show of strength almost invariably signals a major reversal of trend, the big drop that followed in this case. Check this on past reversals on your various price charts and note how often this is a valuable signal for future profits.
In order to learn how to make several hundred percent yearly rate by this method, practice paper trading by taking any old chart of Cattle, Hogs, Bellies, Beans, etc., and draw in the first ML you see on that chart, and the MLH line that prices are the most liable to cross. If the trend is down, enter your buy order at a price where it might close above that MLH. Or if the trend is up and your MLH is therefore sloping up, you have your order in as soon as a close is below that MLH. Enter the price at which your order would be filled so that as soon as you reverse your position by this same procedure, you抣l note the price and be able to figure the profit on this and likewise on al similar transactions. This will give you confidence in this method when you see the hundreds of percent you will be making when you do real trading. You抣l find there will be some whip-saw losses but with practice with your Course methods of eliminating these, they抣l be so small that your profits can absorb them easily.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:24 编辑 ]
AR 23Previous Slide Next Slide
What the ML lines show you, that make your profits certain.
#1. You members are among the few who know where the price of any stock or future is headed. It is headed toward the latest ML, toward the minor ML first and on passing that toward the major MLs
#2. When after a long decline price drops to the lower MLH, it signals the probability of a big rise ahead, The 6/26/77 ML抯 lower MLH was reached as shown on 8/15 and 8/23, as an example of this rule and drop to it was signaled by #3 MLH Rule.
#3. 揥hen prices fail to reach the ML (shown by space#1) it signals probability of a drop beyond the prior low.?Another example of this rule is at Space#2 when prices failed to reach the 8/8ML. The rise signaled by #2 was from 447 area on 8/23 to 507 area in less then 3 months for a $3,000 profit. Then space #3 signaled a drop below the 10/19 low, before a reversal. Two more signals shown.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:25 编辑 ]
AR 24Previous Slide Next Slide
Study on Action and Reaction Lines:
In this Course you should realise the importance of A-R lines. When a man who had made over $50,000,000 attributes his fortune to this principle that Action and Reaction are equal and opposite, you too will find that they can increase the odds enormously in your favor by knowing what they tell you. One reason you will make consistently large profits is because you will sell after rises and buy after declines. When one check the reason for past losses in stocks or futures, he invariably finds he has done just the opposite. To use this method, you measure the distance from a center line such as the 0-4 line shown here. In a rise you measure back to the top pivots in order to find an equal distance to future low pivots. You do this easily by drawing parallels as shown. The R1 line lets prices drop through before the price rallies back the next day to this line. When price drops through it indicates that the previous trend will continue. When as in this case the rally back to the line is small shows you that the prices will move lots more in the original direction to the next trend reversal at the next R line. In R2 prices gapped, a gap being a negative reversal. This fact was first shown in this Course. A gap is nearly always followed that same day or the next with a reversal or another gap.
Once the trend line was crossed by the closing price on February 10th a short sale could have been made and held from 72 price to the present as prices continued to drop though every R line.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:26 编辑 ]
AR 25Previous Slide Next Slide
Case Study course on prices and prognostication
Zero to Three Lines: The weavers of 揗eshes and Nets, Grid Matrix and Sets.?/b>
Pythagorus and members of his Courses taught that each combination of numbers had meaning other than that of a 揝et?of numbers. As members of this Course you have seen that the 0-4 lines are useful to measure (A) and (R) lines from, and how 1-3 or 2-4 lines in SEP are useful when prices cross them as profit makers.
This study reveals to you that these 0-3 lines no only are good lines to measure from, but they are unique in that there is a high mathematical probability that their (R) lines will pass through at least one P at the start of a new trend, and usually the P at the start and the P at the end of the move, whether the move be a long or short one.
Therefore the 0-3 line shows you what other investors would give a lot to know, viz., 揾ow fast will the next drop (or rise) be, where will the start be and where will the end be.?br>
For examples and proof refer to the enclosed Winnipeg Flaxseed Chart. You can start with line D as the #1 Centerline (CL) as it passes through Pivot 0 and P3. As one of several past Ps you can take the Gap, line C as 1(a)1, and take line A as another, 1(a)2. In this last example you notice that this lien passes not only through the usual low P that we measure to when prices have been dropping, but this line also passes through the top P where the drop started. You抣l also note that line Z-Z at the extreme left of the chart passing through both top and bottom Ps enables you to sue it as an (a) lien about line A as a CL And it tells you to sell short on July 31 when line B turned down pries at 330. Line B was of course the corresponding (R) line to Z-Z.
So you now have another member of a 搒et?that you can use to measure from, as well as the 0-4 and 1-3 and 2-4, and other members of the 搒et?
As further examples of the marvelous order, a geometrical order that you are one of the few people in the world to know of its existence, is:
1. Since (A) and (R) are parallel the price trend at all (R)抯 from 0-3 CLs are all parallel and all tend to pass through Ps at the top and bottom.
2. Each of these (A) and (R) lines can also be used as a reliable CL to indicate where future prices will change trend.
Now you should check all the other lines marked by capital letters of the alphabet with other (A) and (R) lines that you draw in yourself.
You will notice that you have a mesh of ascending and falling parallel lines that form a network along whose lines prices tend to rise and fall.
Alan H. Andrews.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:26 编辑 ]
AR 27Previous Slide Next Slide
You members will see that each of the three different positions shown here were taken by getting your orders in before the market opened at the price where it might possibly meet one of the Course lines in two cases. In the third case where the mini ML and its H line were used to signal the buy, you assumed that prices might rise above the H line so had your order in to buy at 197. Similarly where you used the (3) as a CL from which to measure back to a low P in order to get the probable distance to its corresponding High P, you see how high price would have to rise on 2/15 in order to meet R2, and you put your order in at that price. Similarly you抎 see that 206.50 would reach 2/21/ ML.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:27 编辑 ]
AR 28Previous Slide Next Slide
This 0-4 CL tells you when to buy on this chart when you measure back to the distance of each top P to five you the same distance to the next low P. This is our famous Action & Reaction Rule that my late friend from MIT adapted from Newton抯 law of physics that 揂?and 揜? are equal and opposite, and on which Babson attributed his fortune of $50,000,000. If you only learned this one rule from this Course, you could become a millionaire also, as other people have. Each little circle is at the top P from which the A line is drawn. To get the place to sell you reverse and draw in another convenient 0-4 CL that slopes downward and now measure back to the low Ps for you抮e a line distance, and then draw the opposite R line. You have several places where you can draw this 0-4, such as the one we numbers and drew in for you. To avoid too many lines messing up the chart, you can get semi-transparent drafting sheets at office supply stores to put over your original chart.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:28 编辑 ]
AR 29Previous Slide Next Slide
Course members who do a little chart work are making profits like those below, so get with it.
Below are profirs from only 5 trades in Silver in a bit over 6 months that netted after your commisions a bit over $10,000. Assuming a margin of 20% or double the usual requirement, you needed $5,000 to start. Your course members should follow the late Roger Babson's Rule of keeping such a backlog of cash available. This 0-4 CL from which to measure the Action Ps in order to get the same distance from this CL for the H lines is the adaption of Newton's Law of Action and Reaction are equal and opposite in Physics to Price Fluctuations and is the Law to which he attributed the $50,000,000 he made. This profit below would be $20M per year approximately. Quadruple it for 4 years and you've made your first million. 6-8 (0-4) lines yearly average.
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[ 本帖最后由 hefeiddd 于 2008-4-19 08:28 编辑 ]