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Glen,
I posted this to the group last June - Lenny
Here is a post I sent to a Metastock group on June 16 describing the RSI
Positive Reversal:
Walter et al. As I mentioned before a Positive Reversal happens when an
oscillator such as the RSI has a lower valley low at the same time the price
moves to a higher high. This was developed by Andrew Cardwell to use for
price forecasting. You label (3) oscillator pivots, (2) oscillator lows
(A&B) and the highest oscillator high between points A&B (C). The Positive
Reversal price projection formula goes as follows: (B-A) + C = Price
projection/target. The price data associated with oscillator points A, B & C
are the #'s you throw into the above formula. I have attached a Dow weekly
chart with (3) examples of Positive Reversals of which one may be taking
place right now. Let me know what you all think - Lenny.
Attachment Converted: "f:\eudora\attach\!DJIweekly.gif"
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