EZ-PnF V2.1 Sample chart of the XAU index (06/04/98):
Notes:
The chart is a 3 box reversal Point and Figure chart.
The chart is based on daily high and daily low prices.
The chart is a 2% logrithmic chart, ie each chart box represents
a price change of 2% of the value of the box above or below it.
Three possible support prices and four possible resistance prices
are shown, as well as the support/resistance lines.
A 'resistance' or 'support' point is a price where an issue's upward
or downward price movement may 'stall'. The ultimate result of the 'stall'
may be either a continuation or a reversal of price movement, depending
on whether there are more or less sellers than buyers at the specific price
point.
The XAU broke down, penetrated the previous bullish support line,
and is now trading in an overall bearish trading channel. Support may be
seen at points S1, through S3.