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Evan
12-12-2005, 11:32 AM
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Physics 101... A body in motion tends to stay in motion...

The trend is your friend... learn to embrace it, not fight it!

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F=ma

Unless you can identify the "F" I fail to understand how you can draw any meaningful conclusions about the "a".

Let's play a game. Here are five 1 year stock charts (with identifying information hidden), which ones would you buy?

1)
http://img19.imageshack.us/img19/2537/stockgraph7nh.jpg

2)
http://img19.imageshack.us/img19/3235/stockgraph1na.jpg

3)
http://img434.imageshack.us/img434/2926/stockgraph7tn.jpg

4)
http://img434.imageshack.us/img434/3721/stockgraph9gs.jpg

5)
http://img434.imageshack.us/img434/7373/stockgraph9dj.jpg
Sniper
12-12-2005, 11:46 AM
First, why are you using line charts??

Quick thoughts on each (from a swing trading perspective)...

1) I would look for a buy opportunity on a breakout to new 52 week highs.

2) Looks like it could be a buy right here, but it has some resistance at 60.

3) This one broke down from an uptrending channel in Oct... pass.

4) Missed the boat on this one, should have bought the Nov breakout!

5) Its in a downtrend and volume is too light for my consideration... maybe ff has a thought on this one?
buffett
12-12-2005, 11:57 AM
I agree with Sniper that these charts are probably not the best with which to play this game (I think you'll want to have some candles, some moving averages, and definitely some volume), but I think the underlying idea is awesome. I can't wait to see how it turns out.
Evan
12-12-2005, 11:57 AM
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First, why are you using line charts??

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I don't know, what kind of charts should I use? I obviously got these off of Yahoo, it's the default there. I don't use charts for anything, so I don't know what the cool kinds of charts are all about.

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1) I would look for a buy opportunity on a breakout to new 52 week highs.

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#1 is Bank of America. Whether it breaks out of its 52 week range or not, I doubt it's a good buy.

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2) Looks like it could be a buy right here, but it has some resistance at 60.

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#2 is Wynn Resorts. I think it would be a good buy.

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3) This one broke down from an uptrending channel in Oct... pass.

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#3 is STR. I have no idea what the company does or even what its name is. I just felt like putting a random one in.

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4) Missed the boat on this one, should have bought the Nov breakout!


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#4 is Monsanto. I do not believe we missed the boat. They've got a few new products coming out over the next 5 years, one of which is corn that can grow without water. The price is still far too low.

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5) Its in a downtrend and volume is too light for my consideration... maybe ff has a thought on this one?

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#5 is Onvia. Onvia provides b2g contract information. It's a pretty bad microcap stock. It jumps on news releases and then moves back down without ever really going anywhere.
Evan
12-12-2005, 12:01 PM
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I agree with Sniper that these charts are probably not the best with which to play this game (I think you'll want to have some candles, some moving averages, and definitely some volume), but I think the underlying idea is awesome. I can't wait to see how it turns out.

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Okay, next time I'll put on all the bells and whistles. He was talking about trends, which I assumed you could see with just graphs of the price. Is this not the case?
Sniper
12-12-2005, 12:16 PM
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I don't know, what kind of charts should I use? I obviously got these off of Yahoo, it's the default there. I don't use charts for anything, so I don't know what the cool kinds of charts are all about.

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Candlestick charts (and as Buff pointed out, some indicators would be nice, on posted charts).

For more info on Candlesticks... read a Steve Nison (http://www.candlecharts.com/about-why.html) book.
Sniper
12-12-2005, 12:35 PM
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Okay, next time I'll put on all the bells and whistles. He was talking about trends, which I assumed you could see with just graphs of the price. Is this not the case?

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Within reason, more info on a chart, results in better analysis!
12-12-2005, 12:37 PM
Evan, I like this idea, but maybe next time you can take charts from September 04 to September 05. That way we can know right away whether peoples' reads are correct.
Evan
12-12-2005, 12:42 PM
Woah, how'd I do this?
12-12-2005, 01:21 PM
I only see the last three charts but #3 looks good above 80
Evan
12-12-2005, 01:28 PM
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I only see the last three charts

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Try refreshing the page. Could be a browser cache issue.
Sniper
12-12-2005, 01:45 PM
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I only see the last three charts but #3 looks good above 80

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Right click on the Red X and then click "show picture" on the menu that pops up! (in IE)
12-12-2005, 01:47 PM
i'm using firefox....nothing shows at all..
12-13-2005, 04:15 AM
The only one I would have bought is #2, but back in early November.
buffett
12-13-2005, 10:35 AM
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The only one I would have bought is #2, but back in early November.

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Sunday afternoon I folded 9h6d under the gun, which was stupid because I would have flopped a straight.
Sniper
12-13-2005, 11:00 AM
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The only one I would have bought is #2, but back in early November.

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Sunday afternoon I folded 9h6d under the gun, which was stupid because I would have flopped a straight.

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Whats even funnier is that considering the charts (in hindsight), there are 3 stocks he should have bought on Nov 1 /images/graemlins/wink.gif