Technical Analysis Archive
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The World is Coming to an End. Why am I not Afraid?
The stock market is stealing everybody’s earnings lately (even mine). The stock market slump has been fast and brutal. Its current six week decline is the longest since 2001 and that is saying a lot. I will be watching the SP-500 1250 levels. If that level does not hold I will become a perma-bear and [...] -
Interesting Stock for 12/30/2010 – Gaudi Edition
We have to buy a stock for one of our four paper trading accounts (we continuously practice and experiment our craft). In this edition we feature Mosaic Corporation. Its entry point is 74.25 using the Darvas system (breakout). I do not think we can get in but we will try. It is clearly breaking out [...] -
Interesting Stocks for 12/27/2010 – Some ETF Love with a Twist from the Pacific
Today we have three etfs for your amusement and edification. The stock market has been really thin on volume. We expect that as managers go on vacation and leave their evil minions (underlings) to play with their egos, algos and their little computers. However, price over volume and price action has been good. We take [...] -
Interesting Stocks for 12/22/2010 – Bringing the Holiday Cheer with Cool Stock Profits
In this edition we feature four stocks that we are trying to enter positions with real money today. We are cautiously long but ready to switch to a bearish stance as conditions change. We stay vigilant due to low volume during the holiday season. We are concerned that some “window dressing” might be happening as [...] -
Interesting Stocks for 12/14/2010 – Free at Last
We recently finished our first 15 credits of the MBA program and as Thomas the Train would say: Bust my Boilers, we feel crossed. Anyway, we got stopped out of a position in TLEO today with a 2% gain and decided to enter two new trades: one for our real account and two for our [...] -
Stock Market Efficiency
According to investment theory, the markets are efficient. By efficient it is meant that all the information related to an equity is known by all investors and the price paid in the market is the correct price. In addition, arbitrage does not exist as all investors that see the arbitrage will trade to take advantage [...] -
50% Retracement in the Stock Market Indexes is Possible
There is synergy in all the indexes. As shown in the following charts, there seems to be agreement between the 50% retracement line and areas of support. We guess that is where we are headed. A month ago we saw problems but we were way too early to go short. The indexes broke the ascending [...] -
Interesting Stocks for 10/6/2010 – Reloaded Edition
We have been fully invested until two days ago when we got stopped out of some fake positions. We are long this market and we hope that October 2010 bucks the bearish trends of the past. We do not pay too much attention to market cycles since we let the market speak to us. We probably get some decent entry prices today as the ADP report showed suprise job losses in the private sector. We can play a commodity theme in the market as we got a strong buy signal on the CRX - commodity index. -
Interesting Stock for Monday, September 13, 2010.
Recently we do not have a lot of spare time. School is keeping us busy. However, we have a delightful pick for tomorrow. Pay a maximum price of 35.04. We are gunning for the 45s or the high volume bar of 6/25/2010. THOR – Thoratec Corporation (Thoratec) is a manufacturer of mechanical circulatory support products [...] -
Interesting Stocks for 8/24/2010 – Back to MBA School Edition.
Back to school sucks when you have to wake up at 4:00 am. Oh well. We are in the business of making money for you. How that POTash is working for you? CRM: Salesforce.com, Inc. is a provider of enterprise cloud computing applications. It provides a customer and collaboration relationship management (CRM), service to businesses [...]