Quote Originally Posted by grems8544 View Post
Contrasting, John Person tells us that in an up trend a healthy range is S1 to R2 for long positions. Conversely, in a down trend, we can expect the range to be R1 to S2. Pivot analysis will tell us where we lie within this range -- GGT will not.

A good (unverified) setup would be an uptrend in general, GGT signalling "New Long", and the pivot/cluster setup indicating that we're at the lower end of R2-S1 (closer to S1). If the weighting were such that there was little overhead resistance, these could be good candidates. Definitely something to watch for.
Paul
Paul, this is most interesting. Is the main idea to look at an index position relative to its S/R 1&2 pivots or is it to look at its stock constituents' positions relative to their own pivots (ie, use it as a breadth/sentiment measurement in some statistical aggregate fashion)?

Trader D