figured I would add some chart stuff about ebay.

First I put together a quick NueroShell prediction model using two momentum indicators; Williams %R and the ADX. I kindly ask NueroShell to find what are best (most profitable) parameters and relationship between these too indicators. The algorithm is optimized from late June 07 to this last September and the the model is tested on the last three months. NueroShell then chooses model which maximizes profit on the test area. The result produced a model with a 75% wining trade ratio and one year return on trades of almost 250%. (pretty good eh?) The signals are represented on this graph by the triangles, blue triangles are buy signals red sell, the X are where the signal gets executed.

Also, there was a big gap in lat January 07, after which I think we can see a megaphone pattern. Generally, its not a conclusive directional signal, just indication of valuation disagreement. But it can be a good price target model.

This graph is a bit tighter and shows the Fibonacci projection lines. Recently the price has been in between the 23.3% (aprox $33) line and 38.2%(aprox $34). I’ll be watching whether it breaks below $33 on its way to retest the bottom of the pattern. If the stock turns up, look for it to start its move to the top, around $42 depending on how fast it moves up. We’ll watch the next few day so see if it holds $33 and can begin a leg up, I’ll be looking for the NeuroShell system to signal buy. Also as a little teaser there seems to be some talk about them merging, but I certainly cant speak to that.