Just no quit in this market, stocks rose for the third straight day as positive news from the Philadelphia Fed Factor Index rose unexpectedly. In other economic news jobless claims rose as well giving some concern a recovery jobs has yet to materlize. The 3+ million jobs President Obama promised with the stimulus has netted a loss of over 2 million jobs. Historically speaking jobs is a lagging indicator and we continue to see jobs being lost. Volume was mixed in the morning with a buying surge on the NASDAQ while the NYSE was quiet. As the day wore on the tide shifted towards the NYSE as volume picked up while the NASDAQ volume drifted lower. Although volume was lower on the NASDAQ it was still a bit higher than Monday and Tuesday's volume showing buyers continued to step in. A very nice day for stocks as leaders kept pace as well as new leadership groups emerging.
We are heading into options expiry Friday while existing home sale data will be released. More often than not, odds are, volume will more than likely be skewed to the upside. Friday happens to be Day 5 of this rally attempt from Monday's global sell off and options expiry might skew the volume enough to where we could find ourselves following through confirming the rally attempt. The ideal situation would for the market to simply inch back to Monday's lows (a few weeks to do so) and begin another rally attempt. This would allow our leaders to set up in proper bases and not shoot up from 1-3 week bases. At any rate, we can dream of ideal conditions, but focusing on what is and going with the trend is the proper course of action. If we follow through tomorrow so be it and we'll take it from there.
Hard to imagine what a week does to stocks, but looking at a weekly chart we are back where we started last Friday. After Monday's hiccup stocks have been pushed higher; the NASDAQ flashing signs of accumulation. This market is ready to dish out blows that can come from any where and we better be ready for it.
Looking at secondary indicators in the market we can see New Highs aren't quite up to other bull market standards. This doesn't have me worried too much because there has only been 3 other occasions in the history of the stock market where stocks fell more than 60% across the board. Putting this rally into context with other great bear markets it is quite conceivable we'd see a lagging New Highs compared to more recent bull markets. Even the put/call ratio really isn't show extremes on either side which leads me to believe the market is finding equilibrium between sentiment. There is one story out there and that is the VIX's failure to keep above its 50dma. This may be an overlooked area but in 2003 the VIX had a terrible time with its 50dma as well. It continued its slide into the teens from well above 30. These areas are secondary to price and volume action and should be treated as such. No one indicator will ever take over price and volume.
Enjoy your Friday and make sure you cut your losses short.
top longs up TODAY w/ total returns since 1st buy: DAN 224% KONG 133% CAR 101% FIREE 115% ATSG 125% CAMP 86% TEN 82% CHBT 21% BZ 39%(79% EARLY) NAVI 23% LAD 47% VOCL 26% CISG 23% FUQI 36% RINO 20% GRRF 20% OMN 43% OPWV 26% IILG 25% OGXI 21% ACTG 56%
Saturday, August 22, 2009
Wednesday, August 05, 2009
Late Day Support Kicks the NASDAQ into Positive Territory as Small Caps Take Charge
Small caps continue their reign over larger cap stocks as small cap indicies notch very nice gains. Going against the common thought of a pull back stocks continued their march higher despite the majority calling for a pullback. Just about 2pm EDT stocks took a dive, as the NASDAQ headed back to the 2000 level. Buyers stepped up to the plate showing their support and as the late day surged grew so did volume. More importantly, leadership is strong and is showing the strength needed for this market to continue moving forward. In the face of the market needing a pull back it thrusted forward with leaders out in front.
Regardless of whether or not this market needs a pullback I immediately point to the leadership of this market. They will be the ones telling you the health of this market. At the moment, we are seeing big stock leadership taking over this market suggesting institutional cash is beginninig to flow steadily back into the market. Off the March lows we simply saw a junk-off-the-bottom rally where many shorts were being forced out of their positions due to extreme price action in many stocks. Whether or not the selling was "overdone" it sparked a fierce short-covering rally that is on its last legs. This is why it is extremely important for big stock leadership to emerge because without their leadership this market would wilt and roll over.
At this point, if we begin to roll over or go higher I welcome any move the market decides to make here. The market and leading stocks will guide me through the waters of this market. At the moment, it simply appears the fat is being trimmed off and the true leadership is beginning to emerge from the bottom. It won't be long before many of these leaders will show tremendous strides and possibly turn into Monster Stocks. While this may not be a perfect bull market it is certainly a bull market that is trying to shed its excess fat. We'll be on the stocks that are making their moves.
There is no need to get cute with this market, trying to plow into stocks that are extended or short stocks anticipating a turn is downright dangerous. Carefully planned execution and picking the right spots to get long is what is warranted. I do believe this market will continue on its upward path before seeing any type of major correction. Since 7/8 Day 1 of this most recent rally attempt the market has yet to see any distribution yet it has seen more than a few accumulation days. It is this type of action that indicates to me this market will continue its upward trend.
Always remember to cut your losses, you never want losses to take out your trading capital.
FREE YouTube video for non-subscribers and Silver subscribers:
Regardless of whether or not this market needs a pullback I immediately point to the leadership of this market. They will be the ones telling you the health of this market. At the moment, we are seeing big stock leadership taking over this market suggesting institutional cash is beginninig to flow steadily back into the market. Off the March lows we simply saw a junk-off-the-bottom rally where many shorts were being forced out of their positions due to extreme price action in many stocks. Whether or not the selling was "overdone" it sparked a fierce short-covering rally that is on its last legs. This is why it is extremely important for big stock leadership to emerge because without their leadership this market would wilt and roll over.
At this point, if we begin to roll over or go higher I welcome any move the market decides to make here. The market and leading stocks will guide me through the waters of this market. At the moment, it simply appears the fat is being trimmed off and the true leadership is beginning to emerge from the bottom. It won't be long before many of these leaders will show tremendous strides and possibly turn into Monster Stocks. While this may not be a perfect bull market it is certainly a bull market that is trying to shed its excess fat. We'll be on the stocks that are making their moves.
There is no need to get cute with this market, trying to plow into stocks that are extended or short stocks anticipating a turn is downright dangerous. Carefully planned execution and picking the right spots to get long is what is warranted. I do believe this market will continue on its upward path before seeing any type of major correction. Since 7/8 Day 1 of this most recent rally attempt the market has yet to see any distribution yet it has seen more than a few accumulation days. It is this type of action that indicates to me this market will continue its upward trend.
Always remember to cut your losses, you never want losses to take out your trading capital.
FREE YouTube video for non-subscribers and Silver subscribers:
Wednesday, July 29, 2009
It Sure Is Nice To See The Market Take A Breather On Mixed Volume; Pullbacks Create Proper And Beautiful Bases
The SP-500 and the Nasdaq both pulled back today but volume was heavier on the SP-500. While that might seem bearish, and technically it is a distro day again, to the trained eye is actually another bullish intraday session.
Once again, the SP500 pulled back intraday only to reverse off the lows putting in a very respectable bullish close. This happened yesterday and it happened again today and before today and yesterday it has happened almost EVERY single day of the rally since this most recent move higher began on 7/8. Every day you can see a bullish intraday reversal.
While this is very bullish to see in a market, it is only really bullish if you are already fully long. It also matters what you are long. Right now, we still do not have ANY "PERFECT" charts to which I can put anywhere from 10% to 25% in one position. Right now, I continue to deal with speculative stocks that are either coming from short bases or bases far away from the 50 DMA. I don't mind buying bases off the 50 DMA but I sure do want to see nice big long bases.
One of my best stocks so far in this uptrend in terms of "perfection" was RINO. On 7/13 and on 7/16 I bought RINO and the second buy came with max-green BOP the whole way in the previous uptrend, in the base, and on the breakout, along with huge volume and excellent price action--plus it was from China and not the USA; a big positive when investing (isn't that sad to say, Americans). Anyways, the stock only put in an 11-day base before breaking out on 7/16. That is only two weeks and one day, everyone. The best stocks, if you go back and study my best-of-the-best past-big-winners almost all come from bases over three weeks long (most are around four-five) and/or come with price coming right off the 50 DMA. So before we see any HUGE 500% gains in 3 to 6 months kind of returns, we are going to have to see some longer/nicer bases.
Still, overall, am I going to complain about this market, after the 2008 we just had? Absolutely not. What I am doing is telling the truth. For me to "load-up" on stocks to my full margin and OPM accounts I am going to need to see better charts. Now, I hear people say (including me) that the 2008 market was so much worse than the 2002 market (obviously, since it was really only the Nassy that got trashed) market that bases are going to be uglier. That is fine but that just means that I will be risking my "I can invest this without worry" money in them. Until they make another round of bases (and if they don't that is just tough luck on my part), I can not risk OPM or my IRA money into the two-week bases or two-day bases that are making stocks move 40% in 8 days. Sorry, I can't do it.
I can play with my safe, fun money in stocks right now. Especially charts that have corporations in CHINA. If they breakout and are from China I am all over them. One of my recent large longs was CGA. 7/15 I loaded up on it. Then on 7/21 it breaks down on strong volume hitting me with a 6% loss. Three days later it was moving up 17% in one day and now is up 32% in the past four days. That is my luck everyone. However, had it not broken down, I would have done very very well based on one fact alone. It was from China. If a stock breaks out from a great base and has a wonderful chart pattern with strong fundamentals, I might or might not buy a lot of it. One way to guarantee I will: if it says it is from China. Sadly, fakeouts and breakdown re-breakouts are a part of the game and I will have to live with them. Sometimes you get faked out: CGA. Sometimes you hit it just right: RINO. Sometimes you don't have any "perfect" charts and must stay patient: now.
I have a feeling as long as the NYSE, SP500, Nasdaq, and IBD indexes act the way they do as they pullback, we can have quite a few very beautiful chart patterns to pick from and possibly finally find our "perfect" patterns that has helped me invest in some very nice winners that allowed me a very nice life in NYC and Maui from 1999-early 2007. Since then, it has been a fight. I had one subscriber make 100% shorting the same stocks I was shorting in 2008. However, I didn't return 100%. Everyone is different. Don't beat yourself up too much if you are not making money or even losing money in this market. I still am not killing it. Will I eventually? You bet your buns I will. However, I can't predict that will be. I can tell you when it will happen. When the charts start making you drool. There aren't too many that are doing that right now. So for now, I will try to make as much money as I can, while I wait for the perfect moment to setup so that I can "get rich again."
I tell you what it sure isn't cheap living on Maui, in today's economic times. It makes a whole lot of sense to move and that is what I will be doing soon. So if any of you refer to me as MauiTrader or whatever moniker I was given, start getting used to saying TexasTrader because that is where hopefully I will be at this time next year. Any of you Texas residents want to start an investing club or would like me to give seminars, I am 100% committed to being a member of the community. This is my final year on Maui. Sorry Hawaii. You are taxing me out. Aloha! I will make sure when I move that I have internet connectivity available immediately so I will not miss a beat. It is a year away but I think it is appropriate to let everyone know now. I am leaving Maui. This is my final year away from the Mainland. I put in a great 10 years here and maybe I will be back but for now I sure would like to settle, start my fund, and get a serious work environment setup so that I can help even more people become financially independent or more secure.
I'll see you tomorrow. Aloha and let's pray this market continues to stair-step higher. This Nasdaq pattern is beautiful. Now all we need is one base longer than 10 days or so. At least two FULL weeks would be nice right about now. Viva la uptrend! :)
FREE YouTube Video to teach you how to read the market CORRECTLY:
SUBSCRIBERS YOU CAN VIEW THE FULL SIZE ON THE GOLD FORUMS
Once again, the SP500 pulled back intraday only to reverse off the lows putting in a very respectable bullish close. This happened yesterday and it happened again today and before today and yesterday it has happened almost EVERY single day of the rally since this most recent move higher began on 7/8. Every day you can see a bullish intraday reversal.
While this is very bullish to see in a market, it is only really bullish if you are already fully long. It also matters what you are long. Right now, we still do not have ANY "PERFECT" charts to which I can put anywhere from 10% to 25% in one position. Right now, I continue to deal with speculative stocks that are either coming from short bases or bases far away from the 50 DMA. I don't mind buying bases off the 50 DMA but I sure do want to see nice big long bases.
One of my best stocks so far in this uptrend in terms of "perfection" was RINO. On 7/13 and on 7/16 I bought RINO and the second buy came with max-green BOP the whole way in the previous uptrend, in the base, and on the breakout, along with huge volume and excellent price action--plus it was from China and not the USA; a big positive when investing (isn't that sad to say, Americans). Anyways, the stock only put in an 11-day base before breaking out on 7/16. That is only two weeks and one day, everyone. The best stocks, if you go back and study my best-of-the-best past-big-winners almost all come from bases over three weeks long (most are around four-five) and/or come with price coming right off the 50 DMA. So before we see any HUGE 500% gains in 3 to 6 months kind of returns, we are going to have to see some longer/nicer bases.
Still, overall, am I going to complain about this market, after the 2008 we just had? Absolutely not. What I am doing is telling the truth. For me to "load-up" on stocks to my full margin and OPM accounts I am going to need to see better charts. Now, I hear people say (including me) that the 2008 market was so much worse than the 2002 market (obviously, since it was really only the Nassy that got trashed) market that bases are going to be uglier. That is fine but that just means that I will be risking my "I can invest this without worry" money in them. Until they make another round of bases (and if they don't that is just tough luck on my part), I can not risk OPM or my IRA money into the two-week bases or two-day bases that are making stocks move 40% in 8 days. Sorry, I can't do it.
I can play with my safe, fun money in stocks right now. Especially charts that have corporations in CHINA. If they breakout and are from China I am all over them. One of my recent large longs was CGA. 7/15 I loaded up on it. Then on 7/21 it breaks down on strong volume hitting me with a 6% loss. Three days later it was moving up 17% in one day and now is up 32% in the past four days. That is my luck everyone. However, had it not broken down, I would have done very very well based on one fact alone. It was from China. If a stock breaks out from a great base and has a wonderful chart pattern with strong fundamentals, I might or might not buy a lot of it. One way to guarantee I will: if it says it is from China. Sadly, fakeouts and breakdown re-breakouts are a part of the game and I will have to live with them. Sometimes you get faked out: CGA. Sometimes you hit it just right: RINO. Sometimes you don't have any "perfect" charts and must stay patient: now.
I have a feeling as long as the NYSE, SP500, Nasdaq, and IBD indexes act the way they do as they pullback, we can have quite a few very beautiful chart patterns to pick from and possibly finally find our "perfect" patterns that has helped me invest in some very nice winners that allowed me a very nice life in NYC and Maui from 1999-early 2007. Since then, it has been a fight. I had one subscriber make 100% shorting the same stocks I was shorting in 2008. However, I didn't return 100%. Everyone is different. Don't beat yourself up too much if you are not making money or even losing money in this market. I still am not killing it. Will I eventually? You bet your buns I will. However, I can't predict that will be. I can tell you when it will happen. When the charts start making you drool. There aren't too many that are doing that right now. So for now, I will try to make as much money as I can, while I wait for the perfect moment to setup so that I can "get rich again."
I tell you what it sure isn't cheap living on Maui, in today's economic times. It makes a whole lot of sense to move and that is what I will be doing soon. So if any of you refer to me as MauiTrader or whatever moniker I was given, start getting used to saying TexasTrader because that is where hopefully I will be at this time next year. Any of you Texas residents want to start an investing club or would like me to give seminars, I am 100% committed to being a member of the community. This is my final year on Maui. Sorry Hawaii. You are taxing me out. Aloha! I will make sure when I move that I have internet connectivity available immediately so I will not miss a beat. It is a year away but I think it is appropriate to let everyone know now. I am leaving Maui. This is my final year away from the Mainland. I put in a great 10 years here and maybe I will be back but for now I sure would like to settle, start my fund, and get a serious work environment setup so that I can help even more people become financially independent or more secure.
I'll see you tomorrow. Aloha and let's pray this market continues to stair-step higher. This Nasdaq pattern is beautiful. Now all we need is one base longer than 10 days or so. At least two FULL weeks would be nice right about now. Viva la uptrend! :)
FREE YouTube Video to teach you how to read the market CORRECTLY:
SUBSCRIBERS YOU CAN VIEW THE FULL SIZE ON THE GOLD FORUMS
Tuesday, July 28, 2009
Another Very Mellow Intraday Session Ends With Indexes Mixed On Higher Volume; Volume Continues To Be Below Average To Average
I tell you what when the market doesn't move much intraday for a long period of time it sure does get more difficult to decide what you want to talk about. However, I really don't think that there is much you can talk about except for one thing: for a market moving up in such a slow steady fashion, nothing is steady about this market. First case in point you can refer to USU and the second case in point you can refer to UTA.
First off, USU got crushed, for a good reason. However, in a bull market you normally don't see these type of destructive reactions and see them so often. Remember ADY over two weeks ago or how about COT or ITLN yesterday. This action along with USU sure does make it hard to believe I am in a bull market. Do you think I saw this in 1999, 2003, or really anytime from 2004-2007 (early 2007 as around mid-year the fakeout breakouts started showing up)? If you said no, you are right. This was not normal. In fact it is not normal to have rallies with this many DISASTERS and you can be sure that is what these are disasters. Luckily, for once, for me, I have not been hit by any disasters that crush my accounts. Instead I continue to find my way into mediocre picks that don't do much (at least it makes me money) but at least keep me from having a heart attack.
While all of this goes on, I am out there with my eye on some possible beautiful buys. The problem is though, historically, you must wait for a base, setup, and breakout. Well right now we don't get a base or setup. We just get breakouts. Case in point with UTA. UTA is a stock that I have been watching since it made its way to the Nasdaq. Shortly after being listed it started rising on strong volume with green BOP. In June after the initial rally it pulled back on lower volume to beautiful support that then saw it take off 38% in 3 days on strong volume. This got my eyes on it hard. Now I want to buy the breakout. As I watch it base all looks well until 7/20. On 7/20 the stock decides to make the right side of its base all in ONE DAY. While it did not complete the right side, it was still up over 19%, putting it in a position of extreme overbought. What followed was very well received by me as it went sideways for five days. Sadly during those five days it did have two heavier volume reversals that sent BOP back to yellow. However, before the fifth day hit it was back to green BOP. Basically, the base was looking good. Then all of a sudden today the darn stock shoots up over 20% in one day. If you were following the stock intraday, you more than likely were able to buy near the pivot and now have a wonderful little gain in a HOT stock. However, if you are like me and unable to watch intraday you are now sad that your breakout went too far too fast. Welcome to our new stock market of 2009!
Never fear though, everyone, I do have a plan to get myself long before it is too late but it must do one of two things. It must either now reset up in a nice base on base pattern with this next base coming on green BOP and quiet volume the entire way or I would LOVE to see a low volume pullback to near the 12.50-12.75 area. If it can pullback to that area on lower volume, keep its BOP max-green or even just green, and then bounce off that area on strong volume, I wouldn't mind getting long heavy at all. So at least I have a plan to get that stock if it wants me to have it. If it doesn't pullback or if it doesn't setup in another base well then I will just have to say congratulations to everyone. I will get the next one.
I tell you what, though, this sure is one of the FIRST UPTRENDS I have EVER seen without any green to max-green BOP filled bases on lower volume with flat tight price action that led to breakouts on strong volume with max-green BOP, the good news is that some money is still able to be made. Especially on some of the more random stocks like AVNR, ISTA, CHLN, or SCLN. If you are not making some money, you are not cutting your losses fast enough. This market should be able to offer everyone a chance to make at least a little bit of money as long as you are fast at killing what doesn't work and move on to what does. At the same time, if you still are not making money, DO NOT BEAT YOURSELF UP. Like I just said I have not seen an uptrend that has lasted longer than a few months go this long without building any green to max-green BOP filled gems that come with a high-quality stock in regards to EPS/sales. So don't beat yourself up. Trust me, if this was 2003, you would all have a gain of 500%. However, some of you might have gains of 200%. Would you still be pissed off at some one else for having a 700% return. I hope not. Some will be up 100% since March and more will be up 20%. In 1999 some were up 1,000% and some were up 200%. No matter what it is some people will never be happy. So don't waste too much of your time being mad at the "CRAZY!!!!" market. Who would have known a POS-type stock like AVNR would rock a stock like ARST.
Not a lot makes sense which is why cash is still one of my best friends. When the TASR and EPIC charts of 2003 are ready for me, you KNOW I will be there!
FREE YouTube video to teach you how to read the market CORRECTLY:
First off, USU got crushed, for a good reason. However, in a bull market you normally don't see these type of destructive reactions and see them so often. Remember ADY over two weeks ago or how about COT or ITLN yesterday. This action along with USU sure does make it hard to believe I am in a bull market. Do you think I saw this in 1999, 2003, or really anytime from 2004-2007 (early 2007 as around mid-year the fakeout breakouts started showing up)? If you said no, you are right. This was not normal. In fact it is not normal to have rallies with this many DISASTERS and you can be sure that is what these are disasters. Luckily, for once, for me, I have not been hit by any disasters that crush my accounts. Instead I continue to find my way into mediocre picks that don't do much (at least it makes me money) but at least keep me from having a heart attack.
While all of this goes on, I am out there with my eye on some possible beautiful buys. The problem is though, historically, you must wait for a base, setup, and breakout. Well right now we don't get a base or setup. We just get breakouts. Case in point with UTA. UTA is a stock that I have been watching since it made its way to the Nasdaq. Shortly after being listed it started rising on strong volume with green BOP. In June after the initial rally it pulled back on lower volume to beautiful support that then saw it take off 38% in 3 days on strong volume. This got my eyes on it hard. Now I want to buy the breakout. As I watch it base all looks well until 7/20. On 7/20 the stock decides to make the right side of its base all in ONE DAY. While it did not complete the right side, it was still up over 19%, putting it in a position of extreme overbought. What followed was very well received by me as it went sideways for five days. Sadly during those five days it did have two heavier volume reversals that sent BOP back to yellow. However, before the fifth day hit it was back to green BOP. Basically, the base was looking good. Then all of a sudden today the darn stock shoots up over 20% in one day. If you were following the stock intraday, you more than likely were able to buy near the pivot and now have a wonderful little gain in a HOT stock. However, if you are like me and unable to watch intraday you are now sad that your breakout went too far too fast. Welcome to our new stock market of 2009!
Never fear though, everyone, I do have a plan to get myself long before it is too late but it must do one of two things. It must either now reset up in a nice base on base pattern with this next base coming on green BOP and quiet volume the entire way or I would LOVE to see a low volume pullback to near the 12.50-12.75 area. If it can pullback to that area on lower volume, keep its BOP max-green or even just green, and then bounce off that area on strong volume, I wouldn't mind getting long heavy at all. So at least I have a plan to get that stock if it wants me to have it. If it doesn't pullback or if it doesn't setup in another base well then I will just have to say congratulations to everyone. I will get the next one.
I tell you what, though, this sure is one of the FIRST UPTRENDS I have EVER seen without any green to max-green BOP filled bases on lower volume with flat tight price action that led to breakouts on strong volume with max-green BOP, the good news is that some money is still able to be made. Especially on some of the more random stocks like AVNR, ISTA, CHLN, or SCLN. If you are not making some money, you are not cutting your losses fast enough. This market should be able to offer everyone a chance to make at least a little bit of money as long as you are fast at killing what doesn't work and move on to what does. At the same time, if you still are not making money, DO NOT BEAT YOURSELF UP. Like I just said I have not seen an uptrend that has lasted longer than a few months go this long without building any green to max-green BOP filled gems that come with a high-quality stock in regards to EPS/sales. So don't beat yourself up. Trust me, if this was 2003, you would all have a gain of 500%. However, some of you might have gains of 200%. Would you still be pissed off at some one else for having a 700% return. I hope not. Some will be up 100% since March and more will be up 20%. In 1999 some were up 1,000% and some were up 200%. No matter what it is some people will never be happy. So don't waste too much of your time being mad at the "CRAZY!!!!" market. Who would have known a POS-type stock like AVNR would rock a stock like ARST.
Not a lot makes sense which is why cash is still one of my best friends. When the TASR and EPIC charts of 2003 are ready for me, you KNOW I will be there!
FREE YouTube video to teach you how to read the market CORRECTLY:
Monday, July 27, 2009
Constant Below Average Volume Gains Are Leading To Some Winners To Crash Hard (ie...COT); The Leading IBD Indexes Pullback, Hinting At A Tired Market
FREE YouTube Video to teach you how to interpret the market CORRECTLY:
FULL COMMENTARY WILL COME AFTER I COMPLETE MY SCANS FOR THE LIST OF NEW LONGS/SHORTS. I WANTED TO LET GOLD AND PLATINUM SUBSCRIBERS KNOW THAT THE FULL SIZE VIDEO ONE IS AVAILABLE ON THE GOLD FORUMS. IT IS A MUST WATCH SO THAT YOU CAN SEE THE DIFFERENCE BETWEEN MAKING MONEY AND NOT MAKING MONEY RIGHT NOW IS NOTHING BUT LUCK. SKILL AND PROPER ANALYSIS OF THE BEST STOCKS WITH THE BEST PATTERNS WILL NOT GUARANTEE LARGE GAINS RIGHT NOW. BASICALLY A LOT OF LUCK IS THE ONLY WAY YOU ARE GOING TO BE HITTING IT OUT OF THE PARK. THE ONLY OTHER WAY I CAN SEE TO MAKE BIG MONEY RIGHT NOW IS TO FOLLOW THE STOCKS I PUT ON MY WATCHLIST INTRADAY AND BUY THEM ON THE BREAKOUTS WITH STRONG VOLUME. I HAVE STUDIED SOME OF MY SELECTIONS WHERE THEY FLY INTRADAY AND NOTICE THAT SINCE SO MANY OF MY LONGS HAVE A HABIT OF GOING UP 20% BY THE EOD BUT BEFORE THE CLOSING BELL YOU CAN BUY THEM AROUND A SAFE 5-10% MOVE PAST THE PIVOT. SO IF YOU CAN WATCH SOME OF MY BEST PICKS ALL-DAY INTRADAY I RECOMMEND DOING THAT AND GETTING LONG THE STOCKS THAT BREAKOUT ON LARGE VOLUME WITH BEAUTIFUL GREEN TO MAX-GREEN BOP.
FULL COMMENTARY COMING UP. MAKE SURE TO WATCH VIDEO ONE NOW GOLD AND PLATINUM SUBSCRIBERS. THERE IS SOME IMPORTANT STUFF IN THERE.
FULL COMMENTARY WILL COME AFTER I COMPLETE MY SCANS FOR THE LIST OF NEW LONGS/SHORTS. I WANTED TO LET GOLD AND PLATINUM SUBSCRIBERS KNOW THAT THE FULL SIZE VIDEO ONE IS AVAILABLE ON THE GOLD FORUMS. IT IS A MUST WATCH SO THAT YOU CAN SEE THE DIFFERENCE BETWEEN MAKING MONEY AND NOT MAKING MONEY RIGHT NOW IS NOTHING BUT LUCK. SKILL AND PROPER ANALYSIS OF THE BEST STOCKS WITH THE BEST PATTERNS WILL NOT GUARANTEE LARGE GAINS RIGHT NOW. BASICALLY A LOT OF LUCK IS THE ONLY WAY YOU ARE GOING TO BE HITTING IT OUT OF THE PARK. THE ONLY OTHER WAY I CAN SEE TO MAKE BIG MONEY RIGHT NOW IS TO FOLLOW THE STOCKS I PUT ON MY WATCHLIST INTRADAY AND BUY THEM ON THE BREAKOUTS WITH STRONG VOLUME. I HAVE STUDIED SOME OF MY SELECTIONS WHERE THEY FLY INTRADAY AND NOTICE THAT SINCE SO MANY OF MY LONGS HAVE A HABIT OF GOING UP 20% BY THE EOD BUT BEFORE THE CLOSING BELL YOU CAN BUY THEM AROUND A SAFE 5-10% MOVE PAST THE PIVOT. SO IF YOU CAN WATCH SOME OF MY BEST PICKS ALL-DAY INTRADAY I RECOMMEND DOING THAT AND GETTING LONG THE STOCKS THAT BREAKOUT ON LARGE VOLUME WITH BEAUTIFUL GREEN TO MAX-GREEN BOP.
FULL COMMENTARY COMING UP. MAKE SURE TO WATCH VIDEO ONE NOW GOLD AND PLATINUM SUBSCRIBERS. THERE IS SOME IMPORTANT STUFF IN THERE.
Tuesday, June 30, 2009
The Second Quarter Ends with a Thud as Indexes Notch a Day of Distribution
The second quarter ended in bleak fashion as institutional investors were busy selling holdings. A drop in consumer confidence didn't help stocks as higher oil prices and economic uncertainity were major factors for the drop. There wasn't many places to hide on Tuesday, except for leading stocks. The NYSE indexes suffered heavy volume selling throughout much of the day only to see late day support. Over on the NASDAQ volume was subdued for much of the day until the last 5 minutes when a rush of volume hit the NASDAQ. Quarter end window dressing was nowhere to be found on Tuesday. With the quarter end behind the market and earnings season upon us it'll be important to see the market see some accumulation.
As it stands now the Dow Jones Industrial average is leading the way with 5 distribution days. Although 5 is a high number the Dow is a lagging index and its distribution days are minor not major ones. The S&P 500 has seen 4 distribution days but like the Dow its distribution days are minor. What I am focused on is the leading index which happens to be the NASDAQ and it only has 2 days worth of distribution. Remember, it is quite normal to see distribution show its face when the market has made an uptrend. We'll need to see the big institutional players step up and begin operating on the long side buying up quality growth stocks.
A positive market internal today was the advancers versus the decliners. One would assume the number of decliners would have outpaced the number advancers Tuesday, but this simply wasn't the case. The market actually saw the number of advancers edge out decliners. Not typical action of a major distribution day. In addition the number of New Highs versus New Lows continue to be very positive. The ratio was nearly 10 to 1, hardly the bearish action you'd expect. Adding to the positive internals was the put/call ratio jumped over 1.07 showing fear crept back into the market. Fear is always a necessity when keeping an uptrend intact. Market internals certainly dampen the distribution seen in the market today and tells us strength still lives.
As the third quarter begins it will be interesting to see how the market will react. More importantly, July 1st will set the tone for the market for the coming weeks. A few questions will be answered and the biggest one will be if the "big boy" institutional players will step up and accumulate stocks or will they continue to sit on the sidelines? After tomorrow we can assume Wall Street will take an early start to the holiday weekend kicking of festivities early. Until then, make sure you reign in your laggards by cutting losses short and keeping strength. Keep positive and stay focused!
"The point is not so much to buy as cheap as possible or go short at top price, but to buy or sell at the right time." - Jesse Livermore
my personal top longs the past three months UP TODAY: VOCL 133% PARD 74% ACTG 46% CRAY 63% VVTV 52% SIGA 58% DDRX 28% CHLN 85% PALM 76% SPPI 41% GOK 48%
FREE Youtube Video to help you learn how to interpret the market CORRECTLY:
As it stands now the Dow Jones Industrial average is leading the way with 5 distribution days. Although 5 is a high number the Dow is a lagging index and its distribution days are minor not major ones. The S&P 500 has seen 4 distribution days but like the Dow its distribution days are minor. What I am focused on is the leading index which happens to be the NASDAQ and it only has 2 days worth of distribution. Remember, it is quite normal to see distribution show its face when the market has made an uptrend. We'll need to see the big institutional players step up and begin operating on the long side buying up quality growth stocks.
A positive market internal today was the advancers versus the decliners. One would assume the number of decliners would have outpaced the number advancers Tuesday, but this simply wasn't the case. The market actually saw the number of advancers edge out decliners. Not typical action of a major distribution day. In addition the number of New Highs versus New Lows continue to be very positive. The ratio was nearly 10 to 1, hardly the bearish action you'd expect. Adding to the positive internals was the put/call ratio jumped over 1.07 showing fear crept back into the market. Fear is always a necessity when keeping an uptrend intact. Market internals certainly dampen the distribution seen in the market today and tells us strength still lives.
As the third quarter begins it will be interesting to see how the market will react. More importantly, July 1st will set the tone for the market for the coming weeks. A few questions will be answered and the biggest one will be if the "big boy" institutional players will step up and accumulate stocks or will they continue to sit on the sidelines? After tomorrow we can assume Wall Street will take an early start to the holiday weekend kicking of festivities early. Until then, make sure you reign in your laggards by cutting losses short and keeping strength. Keep positive and stay focused!
"The point is not so much to buy as cheap as possible or go short at top price, but to buy or sell at the right time." - Jesse Livermore
my personal top longs the past three months UP TODAY: VOCL 133% PARD 74% ACTG 46% CRAY 63% VVTV 52% SIGA 58% DDRX 28% CHLN 85% PALM 76% SPPI 41% GOK 48%
FREE Youtube Video to help you learn how to interpret the market CORRECTLY:
Wednesday, June 24, 2009
Volume Slips Across the Board as the NASDAQ and S&P 500 End Higher
The market shrugged off news from the FOMC meeting as well as the 5 year Treasury auction today. However, the big institutional money stayed on the sidelines as volume slid from Tuesday's action. Ben Bernanke and the FOMC decided to "do nothing," favoring the status quo over "change." Initial reaction from the market was negative but it did find its footing. There were a few tense moments where the market did look like it was about to crater, but support came to the rescue. Lacking volume, this market continues to look more on the weak side than the strong side.
Big stock leadership did not overwhelm the market with great price and volume action today. Although, some leadership did recover at key moving averages. They were few and far between, but still there. What is concerning is the lack of conviction on upside moves these big stocks have. Today we saw far too many big stock leaders move higher in price but in lower trade. This type of action is letting us know there isn't conviction to the upside and the path of least resistance for these stocks is beginning to turn lower. The big stocks are very good indicators of what is to come for the market and if they decide to run lower our market swill follow their lead.
Once again the market will be paying attention to the 7 year auction to be held Thursday. This time the attention might not be as keen as it was with the two year auction held on Tuesday. Traders are now conditioned to think the 7 year auction will go off without a hitch as the two year and 5 year notes were successful auctions. Although it will be interesting to watch the market reaction, it is nothing we are going to be basing buy and sell decisions off of.
The lack of big stock leadership and the low volume on the exchanges has me quite worried what we are about to run into. From the March lows to our most recent high in the June the NASDAQ has run almost 50% without any pull back whatsoever. The Shanghai index from its late October '08 low to its most recent high in June the index has run 76%. However, in mid-February to the first week in March the index corrected nearly 18%. For a few weeks that pullback has allowed the index continue its uptrend. It is about time we have our market take a break to allow this uptrend to continue its march higher. Unfortunately, it well remain unseen and we'll need our big stock leadership to start gaining more support.
While this market continue to be under pressure it is wise to err on the side of caution rather than try to be a stock market hero. Keep positive and your losses small.
top longs/(shorts) with total returns making me money TODAY: AVNR 103% CAST 48% ACTG 32% COOL 36% ANV 37% SNIC 42% VVITV 87% TRIB 22% VVTV 42% PWAV 76% KAD 56% TXIC 51% STEC 206% WPRT 45% VIT 79% MTMC 207%
FREE Youtube video to help teach you how to read the market CORRECTLY:
Big stock leadership did not overwhelm the market with great price and volume action today. Although, some leadership did recover at key moving averages. They were few and far between, but still there. What is concerning is the lack of conviction on upside moves these big stocks have. Today we saw far too many big stock leaders move higher in price but in lower trade. This type of action is letting us know there isn't conviction to the upside and the path of least resistance for these stocks is beginning to turn lower. The big stocks are very good indicators of what is to come for the market and if they decide to run lower our market swill follow their lead.
Once again the market will be paying attention to the 7 year auction to be held Thursday. This time the attention might not be as keen as it was with the two year auction held on Tuesday. Traders are now conditioned to think the 7 year auction will go off without a hitch as the two year and 5 year notes were successful auctions. Although it will be interesting to watch the market reaction, it is nothing we are going to be basing buy and sell decisions off of.
The lack of big stock leadership and the low volume on the exchanges has me quite worried what we are about to run into. From the March lows to our most recent high in the June the NASDAQ has run almost 50% without any pull back whatsoever. The Shanghai index from its late October '08 low to its most recent high in June the index has run 76%. However, in mid-February to the first week in March the index corrected nearly 18%. For a few weeks that pullback has allowed the index continue its uptrend. It is about time we have our market take a break to allow this uptrend to continue its march higher. Unfortunately, it well remain unseen and we'll need our big stock leadership to start gaining more support.
While this market continue to be under pressure it is wise to err on the side of caution rather than try to be a stock market hero. Keep positive and your losses small.
top longs/(shorts) with total returns making me money TODAY: AVNR 103% CAST 48% ACTG 32% COOL 36% ANV 37% SNIC 42% VVITV 87% TRIB 22% VVTV 42% PWAV 76% KAD 56% TXIC 51% STEC 206% WPRT 45% VIT 79% MTMC 207%
FREE Youtube video to help teach you how to read the market CORRECTLY:
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