Which one is relevant?

Ok, one question, Vincent. Are you using a line chart? I use the candlestick charts or OHLC because it shows the full range of trading which I believe shows important information. If you're drawing your 3rd fanline from the bottom shadow of July '06 to Aug '07, then it was breached, but just briefly then came to sit ontop of it again. However, if you're using a line chart, then it will look severely breached. You can see that the chart above has fan lines drawn from the bottom of the real body and the bottom of the shadow. I would use the shadow origin on this chart because I find that the points line up a little better. I just look for the fanlines to have the most points of "bouncing". I think both versions should be watched and both are relevant in their own way because some people are watching the line charts and others are watching the candlesticks and basing decisions off both of them.