Mike
12-07-2015, 09:07 AM
Watchlists were updated yesterday. The whipsaw action of last week was difficult. This is where longer term investing can shine however, you just sit through action like this unless rules are triggered to sell individual positions. I am 110% invested and own LXFT, MAS, GOOGL, NVR and AMBA with no portfolio action last week.
There are only four items on my long watchlist (AMZN, LOGM, MAS, and ULTI) with 9 items on the longer volume trigger alert list. My long watchlist is still being formulated with small extensions above the 50-day moving average in mind. There are two items with a 3-weeks tight pattern (AMZN and MAS). A 3-weeks tight pattern means that the stock closes on Friday three weeks in a row at nearly the same price, this is a sign of accumulation. MAS I own and a break above the pattern to new highs is a possible add point for me. I have wanted to own AMZN and to get it I may have to pay up. Notice that AMZN just shrugged off the whipsaw market last week.These are exceptions then to buying extended positions above the 50-day. I really don't like paying more than a couple percent above the 50-day in the current market, using the 50-day as an exit line in case I am wrong about the opportunity. Too many classical breakouts fail or stall, probably because of the very late bull market conditions. If I were making a watchlist in normal times, I would have included PANW and LNKD.
Volume alert triggers can occur with stocks in proximity to the 50-day or 10-day moving average. If taking an opportunity that is extended above the 50-day but near the 10-day moving average, the 10-day then becomes the line in the sand where you may exit the position if the position appears to not be following up with its move upward. AMZN before the open is, for example, trading right at its 10-day moving average and 10.8% above the 50-day moving average. As I said I really don't like buying this far above the 50-day so I really need something to bring me the courage to go there. In this case, AMZN is one of the big stocks of the current era that I should have purchased $100-$150 lower.
Bonne chance
There are only four items on my long watchlist (AMZN, LOGM, MAS, and ULTI) with 9 items on the longer volume trigger alert list. My long watchlist is still being formulated with small extensions above the 50-day moving average in mind. There are two items with a 3-weeks tight pattern (AMZN and MAS). A 3-weeks tight pattern means that the stock closes on Friday three weeks in a row at nearly the same price, this is a sign of accumulation. MAS I own and a break above the pattern to new highs is a possible add point for me. I have wanted to own AMZN and to get it I may have to pay up. Notice that AMZN just shrugged off the whipsaw market last week.These are exceptions then to buying extended positions above the 50-day. I really don't like paying more than a couple percent above the 50-day in the current market, using the 50-day as an exit line in case I am wrong about the opportunity. Too many classical breakouts fail or stall, probably because of the very late bull market conditions. If I were making a watchlist in normal times, I would have included PANW and LNKD.
Volume alert triggers can occur with stocks in proximity to the 50-day or 10-day moving average. If taking an opportunity that is extended above the 50-day but near the 10-day moving average, the 10-day then becomes the line in the sand where you may exit the position if the position appears to not be following up with its move upward. AMZN before the open is, for example, trading right at its 10-day moving average and 10.8% above the 50-day moving average. As I said I really don't like buying this far above the 50-day so I really need something to bring me the courage to go there. In this case, AMZN is one of the big stocks of the current era that I should have purchased $100-$150 lower.
Bonne chance