Markets are taking a pounding again & again......
The minute you feel good about your stocks .....it goes LOWER in a hurry???
So....what IS going ON ????
When is IT going to end????
The answer IS ....
It IS a bear market...so these conditions may stay with us well into new year......
So.....
What should be the strategy to invest or trade???
Buy solid growth companies which have ongoing business not MATERIALLY affected by today's fickle economic environment......
Also have a tight trading range......sell before resistance......
Repeat the buy point & sell point over & over on the same stock......
Generally speaking ...BUY on big down day's & SELL on big UP day's......
Do NOT worry about buying near low of the day.....it IS impossible to catch the low unless you get lucky.....
My portfolio is SOL,CSIQ,RIMM & GG.......
I am planning to trade these positions when I see profit & OUT before 1st resistance......
It is NEVER too late to adjust to current REALITY in markets ...which is LOT different & DIFFICULT trading environment......
By doing NOTHING...one may compound the loss of equity.....
So.....Have a well defined strategy which suits you & your OBJECTIVES......
Some stocks & sectors are completely out of favour and there IS a major SHIFT going ON.....Knowing that will save lot of grief.
BLOG does NOT give buy or sell.
Saleem
12 comments:
Hello Saleem,
My porfolio is deep in the red today so changing strategy is good.
Thanks for your advice. What is the 1st resistances of RIMM, GG, SOL, and CSIQ? Where do you find that information? Thanks.
Michael
Hi Michael,
If you go to www.stockconsultant.com
They give you free 7 consult in 24 hours.....
Enter symbol then click consult tab....
Then scroll down the page and you will see target 1 & target 2 for each stock.....
Within each target you will also see resistance with varying strength.....like 10 & strength TRIPLE is a very strong resistance...
Once you read those target category in-depth...you will get the picture after a while.
Good luck !!!
Saleem
Hello Saleem,
Thanks for the information. From the chart it seems that CSIQ, with the first resistance at 25.07 and the strength of 2, is a lot better trade than Sol, with first resistance at 13.92 with the strength of 6. Did I interpret the information correctly?
Michael
Hi Michael,
Yes...you read it right....
Interpreting technical reading is very critical for your decision making.
They are NOT right all the time...because fundamental/analyst take CAN change the direction of any stock.....
So know the company first
then earning & sales trends
& finally technical picture from stockconsultant....
Then mix all three & see HOW the stock is behaving daily....this way you will make your OWN decision...to buy,sell or hold.
Saleem
Hi salim and all
Very tough market.Bought sold BAC, MBI but each time lost money finaly gave up and sold out with little loss. As of today 100 % cash.But so many stocks are dirt cheap. like,
CSIQ,SOL , ENER, SPWR, LDK, V, BAC, JPM, UPL, DRYS WFC / I will buy by friday or monday as margin call will filled up. Most likely i will stick with BAC or V . Solor are good but need more time .
Thanxs and waiting for input.WE all find out the way to make moey.
Hi Ds,
It IS a tough bear market....now we are in 13th month of sub-prime mess....
Alway's trade stocks you know well.
Saleem
Hi Saleem,
WOW! Everyone thought the takeover of FNM would stabilize the markets. Shorts drove it right back down today. Brutal. Blood in the streets.
Looks like a wash out, over 3000 stocks down. That's brutal selling. Glad I still have work. We're seeing the signs of recession here in ATL now. We're always the last.
Keep your spirits up!
Hi Standards,
Selling is getting brutal.
One of these days we will hit bottom.....
It IS very painful in bottoming stage.....
As markets are gyrating wildly on a daily basis...it IS telling me that MAJOR BOTTOM is @ hand....
This week MAY go down in history when latest BEAR market found support.....imho
NO...this week will NOT resolve all issues...but markets will move forward beyond current REPETITIVE malaise......I Hope !!!
Saleem
Hi Saleem,
Any predictions on today's close? It looks like people are still very unsure about LEH, but at this point have enough confidence to at least bring some stability/slight uptick. Rimm is looking okay this morning - I hope this is the start of a new trend.
Thanks,
AD
Hi Ad,
Markets will work its way UP...
LEH cc was confidence builder for the market.
RIMM looking good...They announced a clamshell version of Pearl today...available shortly.
Saleem
Saleem
what is your strategy regarding SOL/CSIQ. are you going to hold. both look really cheap.. but entire sector is in trouble..
once again for your daily update on market conditions
thanks
ram
Hi Ram,
SOL & CSIQ were beaten down badly....lets see how they work their way UP.
Saleem
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