No. of Recommendations: 0
Thanks a lot. But I do not know how to read the charts. So I guess you are telling me that SBUX is still a BUY. XONE dropped $8 per share yesterday, from your reply, I may hold it.


Foolgracie,

As someone who is just learning to read charts, I'm chiming in to encourage you to do so. In no way am I qualified to give advice, but I may be able to help you understand what has been shown.

I don't think Quillnpenn was telling you that SBUX is "still a buy". Rather, he said that it wasn't yet a sell: "... hang on until the next xover occurs, then sell...".

Look at the Center Panel of the chart he gave:
http://stockcharts.com/h-sc/ui?s=XONE&p=D&yr=0&m...

It shows:
- the stock price (open, high, low, close);
- the EMA (50) - [blue line is the 50-day exponential moving average]; and
- the EMA (13) - [red line is the 13-day exponential moving average].

By "xover", Quillnpenn means: When the 13 EMA [red line] crosses over the 50 EMA [blue line]. It's a Buy signal when the 13 EMA crosses above the 50 EMA; a Sell signal when the 13 EMA crosses below the 50 EMA.

[Quillnpenn shall please correct anything this novice may have misunderstood]

Question for Quillnpenn:
At the bottom panel, we are waiting to buy back in when XONE crosses up and over the 80 yard line and heads north. Look back to April 9th and see what happened.

Basically, on Apr 9, the bottom panel was about the same as it is today.
Do you mean that one may buy sooner that the 13/50 cross, because of the Wm %R crossing above the oversold line?
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