If you're short, I'm the sucker going long....: This is the wave pattern I have in mind.

Friday, August 29, 2008

This is the wave pattern I have in mind.

It's this or the Pennant..... with an upside breakout. Which is roughly what we have, only it breaks out next week.

4 comments:

Tony said...: It looks like a pennant to me. I'm not sure the significance of a pennant with low volume.

Gustav hits landfall by Tues am and the impact on energy should be known by then-- and since the market has been so influenced by energy these past few weeks, this could determine how the direction after the pennant.

I'm still holding my KBR short and KRE long, which worked today (for a change.)

TK's picks have been working for the most part. I'm not sure how to play the Invivo picks that I have been watching; with so many up days followed by down days, the picks have been whipsawed. I'm almost tempted to just buy the losers and sell the winners.; August 29, 2008 at 10:29 PM
Eric said...: the invivo list.....
Yes...

The longs at the top of that list, are ones to tighten the stop on, and get out of. or go short.

The shorts on the Bottom of the list.
Those stocks are bottoming.

sfd svu ovti wsm.... have all bottomed, or were about to bottom.

The shorts on the top of the list... are good shorts. The longs on the bottom of the list, are good longs.

In the middle are either shorts, about to fall off a cliff, or longs about to break out.

So, with some discretion, Either Play the middle, or Sell the top 2 or 3 winners, and Buy the bottom two losers.

abk mbi.... are such high momentum... I wouldn't want to play them Pss and tol are due for a correction For sure.; August 29, 2008 at 10:52 PM
Tony said...: Thanks for that appraisal of the Invivo list. I appreciate it... it makes a lot of sense.

I had found OVTI last week and it looked like a bottom formation with an ascending triangle, etc. I was proud of myself for finding this pattern myself (remember my right brain is pretty wimpy).

So, I was a little concerned when Teresa tagged it with as a "loser" and even set a buy-stop on it like it was a good short!

What ho, it has a nice 7.75% spike today. Now it it starting to make some sense.; August 30, 2008 at 12:09 AM
Eric said...: But remember.... sometimes after a parabolic move you still get a "Dip Buy", so recognizing when to go short with them is something you want to be careful with. and if it's "near the bottom it could still have 10-20% more downside."

a loser is just something the quant is short.

The trick would be to recognize the ones on in the middle due for a "Break out" ...

If you could catch the "Breakouts" only, you could COIN money.; August 30, 2008 at 12:29 AM

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