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08/2008
14.04.2008
Editor's
Notes
Trading
Tips:
Re-entry strategies
Sector
and ETF
Watch list
Stock
watch list
Contact me
My
blog
Newsletter archive
Simple
stock trading
home
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Market
without ideas
Hello,
stock market is moving without any important moves in current trading
range.We will see if Friday's "GE related" sell-off will continue.
The common for last days and weeks is low volume and lack of buyers.
Same situation as I wrote in last newsletter.
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I personally feel that markets are now in stage when everybody wants to
be outside of market. The same story can be heard from CME
floor
futures traders I listen on Bloomberg TV. They are stating that volume
is low and buyers are not coming to market.
And on Thursday one of these pit traders was asked : "How can you be
profitable in such market?". And he replied "Well , I am not". It is
not surprise. Current market moves are not nice and it is hard to make
good profitable trades.
The best strategy is to sit on hands and do nothing big. I
test
market with small trades but results are still not good. Wait and see
is the best strategy for me as for swing trader right now.
Happy trading,
Richard
Re-entry strategies
Have you thought about adding into already profitable trade to
increase profit potential ? Or do you think about re-entry of trade in
the same direction ?
Implemeting rules for adding or re-entry could increase profitabiity of
good stock trading system. Some thoughts about this issue I posted
on my pages.
.... top of newsletter
Sector and ETF Watch List
Some ETFs formed nice bear flags on
their charts. It is still bear market and I think that downtrend move
could last in few next days The only problem is low volume.
Long
ETF watch list: GML, XLB,XLE,XLP, EWZ
Short
ETF wacth list: INP,SMH,FDN,XLF,IYR,XLI,GLD and SPY (or Inverse ETF symbol "SH")
Commodity ETF tracking gold with symbol GLD is forming right shoulder of massive Head and shoulders chart pattern. This right shoulder could be also seen as bear flag
Stocks Watch List
Nothing new , I prefer to be short then to be long. For long trades
I would pick only strongest stock - like stocks near its 52 week high
Long
Watch list: CVA, ERES, DNA,CBU,PPDI,AVP,BRP,COV,EGN,HCN,HCP,TUP
Short
trade watch list: INTC,CG,COP,RAI, BG,PLL,WR,KMB, CBS
Questions ?
I will be pleased to reply to any of your questions. Do you have
something to discuss ? Or would you like to read something in next
issue of newsletter or on my web pages or in my blog ? Let me know .
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