Go to Jeff Salisbury LWGate Home Page.From: "Tom Worley" <stkguru@bellsouth.net>
Subject: Re: [CANSLIM] Today's WebLink
Date: Thu, 30 May 2002 09:43:58 -0400
Next Article (by Date): [CANSLIM] Maybe off-topic, but I don't think so "Duke Miller"
Previous Article (by Date): [CANSLIM] Today's WebLink "Duke Miller"
Top of Thread: [CANSLIM] Today's WebLink "Duke Miller"
Next in Thread: Re: [CANSLIM] Today's WebLink "Katherine Malm"
Articles sorted by: [Date]
[Author]
[Subject]
This is a multi-part message in MIME format. - ------=_NextPart_000_02C8_01C207BE.85AEC7C0 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable MessageDuke, I would be a lot more impressed with IBD if they had = reported that potential sell signal just a day or two later, rather than = weeks later.=20 On the other hand, I would disagree that selling the next day was = necessarily the right action. We see many signals, both buy and sell, as = well as hold. It is the collective accumulation of those signals that = should trigger an action, in most cases (the 8% stop loss rule being one = of the few that stands on its own). I realize that IBD is not being paid for specific investment advice, and = likely would not want to precipitate a correction by reporting every = sell signal immediately. But I do agree, all these new rules they seem = to be coming up with, are they their interpretation of CANSLIM, or is = this actually coming from WON? - ----- Original Message -----=20 From: Duke Miller=20 To: CANSLIM=20 Sent: Thursday, May 30, 2002 9:02 AM Subject: [CANSLIM] Today's WebLink Bulletin: Here we go again with some new CANSLIM tactics springing from = WON's perfect hindsight in today's WebLink on HOV. I quote:=20 But on May 8, the stock notched a new intraday high on quiet trade and = finished lower that day (Point 4). New highs on low volume are one sign = that demand is waning and pose as a key sell signal. However, given that = the stock was only in the 10th week of its advance, it can be worth = waiting to see if a rally still has juice. Over the next week and a = half, Hovnanian fell hard and clipped its 50-day line on heavy trade = (Point 5). On May 16, the stock closed below its 50-day for the first = time since November. But from the next day, it began clawing its way = back above the key intermediate trend line. The first new lesson (to me, anyway) is couched in the statement, "But = (operative word) on May 8...a new intraday high on quiet trade...a key = sell signal." When I look at the chart on May 8, I see something = different: It tells me the stock closed down that day on low volume. I = thought this was a good sign. But now its a bad sign, because it = reached a new "intraday" high on light volume. Maybe I was in the men's = room during the advanced seminar when they covered this. :) My point is, if you new about the "intraday high on low volume sell = rule," wouldn't you have SOLD the next morning at the open? (If you = didn't, then today's Investor's Corner is for naught.) =20 But wait a minute, lo and behold, yet another new rule surfaces: = "However, given that the stock was only in the 10th week of its advance, = it can be worth waiting to see if the rally still has juice." Where in = the 24 Rules is that hidden? I searched the whole Investors.com for = "rally juice" and nada.=20 In hindsight, the fact remains, if you held HOV, you would be wise to = have sold on the new intraday high on low volume. That is, if you knew = about that rule. =20 I guess we learn something new every day, don't we? Where oh where did = I put that darn time machine! =20 Duke - ------=_NextPart_000_02C8_01C207BE.85AEC7C0 Content-Type: text/html; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable <!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> <HTML><HEAD><TITLE>Message</TITLE> <META http-equiv=3DContent-Type content=3D"text/html; = charset=3Diso-8859-1"> <META content=3D"MSHTML 6.00.2716.2200" name=3DGENERATOR> <STYLE></STYLE> </HEAD> <BODY bgColor=3D#ffffff> <DIV><FONT face=3DArial>Duke, I would be a lot more impressed with IBD = if they had=20 reported that potential sell signal just a day or two later, rather than = weeks=20 later. </FONT></DIV> <DIV><FONT face=3DArial></FONT> </DIV> <DIV><FONT face=3DArial>On the other hand, I would disagree that selling = the next=20 day was necessarily the right action. We see many signals, both buy and = sell, as=20 well as hold. It is the collective accumulation of those signals that = should=20 trigger an action, in most cases (the 8% stop loss rule being one of the = few=20 that stands on its own).</FONT></DIV> <DIV><FONT face=3DArial></FONT> </DIV> <DIV><FONT face=3DArial>I realize that IBD is not being paid for = specific=20 investment advice, and likely would not want to precipitate a correction = by=20 reporting every sell signal immediately. But I do agree, all these new = rules=20 they seem to be coming up with, are they their interpretation of = CANSLIM, or is=20 this actually coming from WON?</FONT></DIV> <DIV><FONT face=3DArial></FONT> </DIV> <DIV style=3D"FONT: 10pt arial">----- Original Message -----=20 <DIV style=3D"BACKGROUND: #e4e4e4; font-color: black"><B>From:</B> <A=20 title=3Ddukemill@tampabay.rr.com = href=3D"mailto:dukemill@tampabay.rr.com">Duke=20 Miller</A> </DIV> <DIV><B>To:</B> <A title=3Dcanslim@lists.xmission.com=20 href=3D"mailto:canslim@lists.xmission.com">CANSLIM</A> </DIV> <DIV><B>Sent:</B> Thursday, May 30, 2002 9:02 AM</DIV> <DIV><B>Subject:</B> [CANSLIM] Today's WebLink</DIV></DIV> <DIV><BR></DIV> <DIV><SPAN class=3D656573312-30052002><FONT face=3DArial>Bulletin: = Here we go=20 again with some new CANSLIM tactics springing from WON's perfect = hindsight in=20 today's WebLink on HOV.<SPAN class=3D656573312-30052002><FONT = face=3DArial> I=20 quote:</FONT></SPAN></FONT></SPAN><SPAN class=3D656573312-30052002><FONT = face=3DArial> </FONT></SPAN></DIV> <DIV><SPAN class=3D656573312-30052002><FONT = face=3DArial></FONT></SPAN> </DIV> <DIV><SPAN class=3D656573312-30052002>But on May 8, the stock notched a = new=20 intraday high on quiet trade and finished lower that day (Point 4). New = highs on=20 low volume are one sign that demand is waning and pose as a key sell = signal.=20 However, given that the stock was only in the 10th week of its advance, = it can=20 be worth waiting to see if a rally still has juice. Over the next week = and a=20 half, Hovnanian fell hard and clipped its 50-day line on heavy trade = (Point 5).=20 On May 16, the stock closed below its 50-day for the first time since = November.=20 But from the next day, it began clawing its way back above the key = intermediate=20 trend line.</SPAN></DIV> <DIV><FONT face=3DArial></FONT> </DIV> <DIV><SPAN class=3D656573312-30052002><FONT face=3DArial>The = first new lesson=20 (to me, anyway) is couched in the statement, "But (operative word) = on May=20 8...a new intraday high on quiet trade...a key sell signal." When = I look=20 at the chart on May 8, I see something different: It tells me = the=20 stock closed down that day on low volume. I thought this was a = good=20 sign. But now its a bad sign, because it reached a new "intraday" = high on=20 light volume. Maybe I was in the men's room during the advanced = seminar=20 when they covered this. :)</FONT></SPAN></DIV> <DIV><SPAN class=3D656573312-30052002><FONT = face=3DArial></FONT></SPAN> </DIV> <DIV><SPAN class=3D656573312-30052002><FONT face=3DArial>My point is, if = you new=20 about the "intraday high on low volume sell rule," wouldn't = you have=20 SOLD the next morning at the open? (If you didn't, then today's = Investor's=20 Corner is for naught.) </FONT></SPAN></DIV> <DIV><SPAN class=3D656573312-30052002><FONT = face=3DArial></FONT></SPAN> </DIV> <DIV><SPAN class=3D656573312-30052002><FONT face=3DArial>But wait a = minute, lo=20 and behold, yet another new rule surfaces: "However, given = that the=20 stock was only in the 10th week of its advance, it can be worth waiting = to see=20 if the rally still has juice." Where in the 24 Rules is that = hidden? =20 I searched the whole Investors.com for "rally juice" and=20 nada. </FONT></SPAN></DIV> <DIV><SPAN class=3D656573312-30052002><FONT = face=3DArial></FONT></SPAN> </DIV> <DIV><SPAN class=3D656573312-30052002><FONT face=3DArial>In hindsight, = the fact=20 remains, if you held HOV, you would be wise to have sold on the new = intraday=20 high on low volume. That is, if you knew about that=20 rule. </FONT></SPAN></DIV> <DIV><SPAN class=3D656573312-30052002><FONT = face=3DArial></FONT></SPAN> </DIV> <DIV><SPAN class=3D656573312-30052002><FONT face=3DArial>I guess we = learn something=20 new every day, don't we? </FONT></SPAN><SPAN=20 class=3D656573312-30052002><FONT face=3DArial>Where oh where did I put = that darn=20 time machine! </DIV> <DIV> <P></FONT></SPAN><SPAN class=3D656573312-30052002><FONT=20 face=3DArial>Duke</FONT></SPAN></P></DIV> <DIV align=3Dleft> </DIV> <DIV><FONT face=3DArial></FONT> </DIV></BODY></HTML> - ------=_NextPart_000_02C8_01C207BE.85AEC7C0-- - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email.
Next Article (by Date): [CANSLIM] Maybe off-topic, but I don't think so "Duke Miller"
Previous Article (by Date): [CANSLIM] Today's WebLink "Duke Miller"
Top of Thread: [CANSLIM] Today's WebLink "Duke Miller"
Next in Thread: Re: [CANSLIM] Today's WebLink "Katherine Malm"
Articles sorted by: [Date]
[Author]
[Subject]