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One example of a loyal convert to Murrey Math:
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From: Braindead <pong@xxxxxxxxxxx>
To: thmurrey@xxxxxxxxxxxxxxxxxxxxx
Subject: this was sent to the wrong address, its for you
Date: Thursday, June 05, 1997 4:03 PM
>X-Persona: <Murrey Math>
>Return-Path: <davdart@xxxxxxxxx>
>Date: Thu, 05 Jun 1997 17:02:14 -0500
>From: "David J. Dartez" <davdart@xxxxxxxxx>
>Reply-To: davdart@xxxxxxxxx
>Organization: The Falcon Group
>To: "T. Henning Murrey" <" thmurrey"@murreymathtrading.com>
>Subject: Beans, beans...the American Fruit
>
>Henning:
>
>I'm going to lay out for you the basics of my soybean trade that has
>worked so well using the MML technology. Based on some planetary
>positioning/ W D Gann type information published by Ernie Quigley, in
>his newsletter called Harmonic Timing, I had reason to believe that
>beans, and in particular, July beans were probably going to break in the
>time frame of June 3 to June 5. Therefore for the last couple of weeks I
>starting picking up July/November bear spreads on soybeans. In case you
>haven't traded the agricultural commodities for a while, I'm long new
>crop November soybeans and short old crop July soybeans. A very
>exaggerated backwardation situation had developed where July was trading
>at about $1.60 above November whereas a more nornal carry would have
>November beans trading 20 to 30 cents above July. So, I started picking
>up spreads at 1.62, then 1.66, on up to 1.82 and now hold 10 spreads at
>an average of 1.69 differential.
>
>I should note that the spread continued on up into the 1.90's before
>breaking real big starting June 3, right on schedule. Right about this
>time I started getting real serious about studying MML and you started
>putting up the charts on your web site.
>
>After the big break on June 3, I was sitting right at breakeven on all
>of my positions and I saw July beans with a great big black candlestick
>sitting right on the 50% line with the cumulative candlestick pattern
>saying that they were probably going to continue down in a big way. At
>the same time November beans had very comfortably broken up thru their
>37 1/2% line and established a good base well above it with not too weak
>of a candlestick pattern. To me, it looked like all of the MML dynamics
>were in place for the spread to close substantially and indeed it did.
>
>July created a downside window and closed down limit while November
>slid back only slightly to again rest on its 37 1/2% line. From that
>nearly perfect MML setup, the spread closed in 21 1/4 points. With each
>point worth $50 per spread and with 10 spreads the profits for one day
>were $10,625. Oh, I forgot to mention that the margin requirements for
>an intra-month soybean spread are only $405 per spread, so my commitment
>on the trade was only $4050. It is past 8th grade math to figure out
>what the annulized return is on that investment.
>
>>From there, as you so helpfully pointed out, the trick is to figure out
>a reasonable point to grab profits on 50% of the position and let the
>rest ride. I spent the first two hours of bean trading this morning in
>the dentist chair and missed my best chance to take some profits but
>following is my thinking on where I stand relative to MML and what my
>plan should be.
>
>Right after I talked to you, I put in an order to close out 5 spreads at
>1.40. They had been down to about 1.42 while I was away and I was hoping
>it might come back down to there but it never did. Then I moved the
>order up to 1.49 but still missed it by a few cents. So....I'll figure
>out a good place to grab profits and put in a standing order.
>
>What was most interesting about today's price action is that Nov beans
>stayed above the 3/8's MURREY MATH LINES almost all day and every
>attempt to get it to stick below that line at 6.83 failed.
>
>By contrast July beans closed yesterday exactly on the minor 50% line
>halfway between its major 37.5% and 25% Murrey Math Line. This is a
>point where markets often find support. The market took Jly beans down
>to within > cent of the 25% line at 8.20 < where it got strong support
>and bounced back up and tried repeatedly to break thru the 37=% Murrey
>Math Line at 8.40 but just could not make it.
>
>Summing all of that up; we have the Nov contract sitting above its 3/8's
>line wanting to go back up to its 50% line at 7.03 and we have the July
>contract sitting well below its 3/8's line wanting to go back down to
>support at the minor support line of 8.30 or even further down to its
>major support line at 8.20.
>
>Those dynamics are supported by the fundamentals of Cargill and probably
>other major processors starting to buy cheaper beans from Brazil to put
>major pressure on July beans and we have the ever present weather
>threats to keep upward pressure on the Nov beans.
>
>Further support comes from Quigley's planetary info saying that July
>beans are due to be down until about June 27. I do want to quibble with
>Quigley just a little though. He says that Nov beans should find support
>at 6.53 to 6.56 which comes from traditional chart reading. I would say
>rather that the 25% Murrey Math Lines at 6.64 is extremely strong
>support which turned around the last plunge literally on a dime. With
>that trading experience behind us I think it is even more likely that
>the minor 50% line at 6.74 will contain any declines.
>
>So...doing my Dartez Math, if July declines down to the 25% line at 8.20
>and Nov only drops to the 50% minor line at 6.74, that will put the
>spread at 1.46 worst case and if many beans are brought up from Brazil,
>July could make it down towards the 0/8's line at 7.81 and bring the
>spread down to .17 cents. That would equate to a profit of $7600 per
>spread.
>
>So here is my plan...I'm going to put in a standing order to liquidate 5
>spreads at a differential of 1.46 and take out $5750 of profit. I'll let
>the other 5 positions ride and see how the story unfolds. Watching those
>Murrey Math Lines are going to telegraph exactly what kind of profits to
>hold out for on the remaining positions. The disappointing thing is that
>I had the opportunity to grab the 1.46 today but for the dentist chair.
>
>So there is the whole plan...put in a standing order to close out 5
>positions and bank $5750 in profits, watch and play the MML's and hope
>for the maximum play where the remaining 5 positions are worth $7600
>each for another $38,000 and at the very worst close out the remaining 5
>at breakeven for a 142% return on investment in a few weeks.
>
>As you have said, I will never look at markets the same way! Ain't it
>great.
>
>I'll welcome any advise or observations.
>
>Thanks,
>
>Dave
>
>P.S. As I look back over this whole campaign, I am sure that if I have
>been using MM from the beginning, I could have gotten in at a much
>better price and not have had to fade nearly as much heat to get to my
>position today.
>
Thanks,
Elliott
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