Sunday, October 07, 2007

NYSE Euronext (NYX) TD Sequential Price Projection

Comparing the chart of NYX to the previous post of RTI, it looks like there are many similarities. First of all, there is the perfected TD Sequential buy signal and quick move up. Like RTI, NYX has run into resistance at the TDST level. Should one sell or hold on?

Looking to the Combo A/D line, NYX has broken two shorter time scale downtrends and is approaching the long term downtrend line (red). I would stay long here and see how the A/D line reacts. If it bounces off the line I would take some profits, but also leave some on the table just in case NYX makes another move up.

This is the beauty of catching the bottom. It gives you a big cushion and keeps you from being shaken out of a stock just before the big move.

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