Opens UP

Although investing by the charts is fun, I reckon there's an element of investor psychology involved. That is, one should be able to gauge investor sentiment (concerning some stock) by gazing intently at one chart or another. My current thinking is that, should a stock open UP (from last day's Close), it says something about how investors feel about that stock today. Indeed, I reckon that the sentiment that generated the increase will continue -- for a while, at least. To test that reckoning, I look at the 30 DOW stocks and identify those days where the stock opens UP. Then I look at the subsequent High. What happens? Do it continue UP (for a while) or DOWN? For a DOW stock, when it opened UP, it continued UP by about 1.5% (on average, over the past couple of years). How about if it opened UP by 1% or 2%. How High did it go? 'course, it'll depend upon the stock, eh? Here's McDonald's: ** How about this guy? Note: Opening UP by 0.0% just means the Open is larger than the previous Close. Anyway, if'n y'all would like to play this game. I've modified the spreadsheet described here to include that kind o' stuff. ** When we were in Japan, they called it Maca-Donarudo.