Markets finished an exciting week with modest gains as markets continue to defy the will of the bears. The Nasdaq rose .3%, SP 500 .1%, SP 600 .5%, SP 400 .4%, IBD 100 .6%, and the Dow actually bucked the trend and closed down .07%.
Volume did come in lower across the board but breadth was decisively positive on the NYSE and Nasdaq. That along with the new highs trouncing the new lows by a wide margin gives the feeling of a stronger rally today than what the closing figures tell.
You would think the world was ending, with all the negative news out there. Nigeria, Iran, Iraq, Saudi Arabia, UAE, and a partridge in a pear tree. All of it was fair game for the media this week. But what wasn't fair game was the spin they always give and why it will entail lower stock prices.
Here is the real spin: The markets are doing great and have been for three years. We are in a bull market now and have been the entire time. No matter how smart the bears argue their side of the story the facts remain the same. Stocks keep moving higher and higher and higher.
The long side is still working like gold. I take some small hits but when stocks work they REALLY WORK. Until that changes I see no reason whatsoever to listen to the genius bears. I don't have millions of dollars to throw away on the short side just because I "believe" the market is going lower. So until the market starts going lower, I will continue to load up on longs that create and breakout of wonderful chart patterns.
So you can believe the markets suck just because the media wants to see the USA fail in Iraq. But I will never believe that crap! Civil War? Is this what they are rooting for? The left wing commie pessimistic media is a joke. If you think you can make money off jokesters, fine. If you want to learn how to trade and make a great success of yourself in this greatest nation on God's green Earth then that is what I am here for. The choice is yours.
Watch the charts and read the companies financials and that will tell you all you need to know.
Have a great weekend! Surfs up!!
New Swing Longs: ENMC MTU AAU ALTU AUXL
To see explanation of longs, go to InvestorsParadise
Scroll down to Professional Resources and enter the Investing tab.
Additional Buy To Existing Swing Longs: TRCI
New Swing Shorts: NONE
Longs Outperforming Market: SLW-77% PETS-150% MEK-30% ORA-59% MFLX-162% FFIV TRCI TRO RAIL-72% VRTX-224% UEPS OXPS-85% BNT-37% SURG CLZR-38% PNRG COGO-25% SBAC-38% NGPS ERS-127% XRTX-31% KNXA-33% ADLR-78% BBD-148% SLAB ASTE-27% TRAD-59% AXE-28% LSI VSEC ARS-44% GRS-97% CIB-39% CBG-87% PKE CRDN-65% CHE KEYS-37% JBL RUSHA STX MDCC-45% IKAN-35% MSCC-69% KEX BEAV-41% VIMC LTM AKAM-69% SPWR-43% FWLT-70% QCC MMK PEC RUTH GNBT-57% CONR RDCM-53% MRB-82% STXS CLG-54% CPST DESC-167% NTO-26% DEZ-172% NXG-62% REGN-42% PEIX PANL HOMS-27% KDN MTRX-39% NVAX CHINA TTEK DEPO SPSX-31% NDAQ-286% KNDL-26% NSTK-34% IED-80% BWNG-44% BEAS BAM ACTG-28% RSTI-31% GSIG IDEV EVST ICTG-54% SMF HEIA FC TBH
Stocks On Radar Screen: CLMT JOBS COR HEB
Long Term Winner Getting Crushed: SVR--Seven days ago I was sitting on a 67% gain. After today I am leaving with a 9% gain. That is what we call a "bad beat." It happens. Keep fighting!
11 comments:
Josh,
on ur SVR example...i have a question for you...why do you hold thru earnings when it is nothing but a pure gamble? its seems for every one big winner u get thru holding thru earnings u get 4 SVR's when holding through them. I have been trading for 15 yrs...and i very rarely will hold any part of a postion thru earnings because there is no "edge" in doing so.
Just curious on your thoughts on the subject.
thanks for the time,
Paul
I completely disagree. If you look at all my holding that are over six months long and have plus 75% gain you will see I had to hold them through earnings.
I believe your stats are only that way because you do not trade the IBD method. If you do, my apologies. But the fact is more stocks rocket that I own during earnings season. I rarely have SVR's. The thing is is that I am one of a few commentators who will point out my big losses as long as well as all of my winners.
It is never a gamble. It is history. If they have a record of beating profits there is no gamble in that at all.
Do all of your longs trade above the 50 and 200 dma? If they do, great. But I notice I very rarely get a huge blowup like SVR.
When I do my short scans, I rarely ever see my stocks come up. But when they do and when I take a big hit in my portfolio I let you know.
Good luck and please remember holding through earnings season is the only way to bag those 100% plus winners. THE ONLY WAY.
Great luck out there
Another thing: When you hold as many stocks as I do you are going to have a lot of misses.
But when I look at my P/L statement it is clearly obvious to my own eyes, the advantage is clearly on the side of upside movement during earnings. And most stocks that miss never hit me with a big loss so that is all I can ask for.
whats your upside price target on stxs
TIA
I can not predict the future. There are never price targets. I expect every thinly traded stock or cheap stock I buy to double. If and when it will, I can't and no one knows.
I have never gotten price targets...trying to predict the future is like predicting the weather in New England...it can't be done.
Josh:
Don't you conside RITA, a "Blow Up", or "Cave In"? Why no mention?
All The Best
RITA should be a blowup, yes. I decided not to run that one because of SVR.
Another reason was that half or RITA was already sold when it closed below the opening price of the signal day and below the 50 dma. I think that happened about a week ago. Therefore, I had a small position. SVR on the other hand was a real blowup dropping over 25% in one day.
RITA gave me with an 18% loss, on the last half of my position, so that should have been considered a blowup. I got lazy.
Remember, though, for every blowup you get the SILC RNAI NVAX DMC GNBT ALKS REGN MFLX SMSI that completely make up for any loss RITA gave us.
Thanks for calling me out! This is what I love about blogs.
Keep up the good work and great luck out there
DMX not DMC though that stock is still acting well.
do you ever take a position that is less than a 100 shares?
Yes. when the price of the stock is really high and I am not in love with the chart I will. If NVR, SEB, or BRKA breakout, I dont think I will be buying 100 shares. You can count me in for 10 at the most.
Sadly since the minimum for IB is $1 a trade, taking anything smaller would not be cost effective. But $2 round trip is better than $14 from Scottrade. So I guess I can not complain too much.
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