Go to Jeff Salisbury LWGate Home Page.From: "DMC197807" <dmc197807@comcast.net>
Subject: Re: [CANSLIM] Extrapolation
Date: Fri, 25 Jul 2003 23:31:26 -0700
Next Article (by Author): Re: [CANSLIM] Extrapolation "DMC197807"
Next in Thread: Re: [CANSLIM] Extrapolation Hong Hsu
Articles sorted by: [Date]
[Author]
[Subject]
Hong, I think my meaning was pretty clear, and not meant for extrapolation or further suggestions. When the stock started failing to continue higher on a consistent path and began to break its own trendlines, it would have been prudent to take profits or to set tighter stops. I don't try to explain selloffs, I try to stay out of their way. I also don't try to predict tops or bottoms, it's a useless errand. I simply look for hints as to whether or not the trend in the stock can continue. When I say the market is incredibly topsy, I'm referring to the indicators I mentioned before (VIX, etc.), not trying to explain why a certain stock got/gets/will get hammered on a certain day. It is simply a very difficult environment to maintain any long positions, it is the M of CANSLIM. As for RRI in May, I'm happy enough to have bought and sold at the following levels: (purchases around 11/5/02, sales 1/21/03) purch./ sale 1.73 4.31 1.81 4.40 1.85 4.42 2.41 4.47 (purchases around 1/30~2/5/03, sales 7/1/03): 3.80 6.25 3.73 6.23 4.07 6.19 I can't go through the exact thoughts at the time, and I could have timed the sales better (been more nimble) but it was the basic idea that the stock at the time was showing that it was unable to continue rising. If I had paid more attention I would have exited a few days earlier in January and a week earlier than July 1. If I had owned OSTE for the past few weeks I think I might have had similar thoughts, but I might have been a day late as well. Each of us is free to apply indicators and wisdom as he/she wishes. DMC - ----- Original Message ----- From: "Hong Hsu" <honghsu@bellatlantic.net> To: <canslim@lists.xmission.com> Sent: Friday, July 25, 2003 8:54 PM Subject: Re: [CANSLIM] Another mystery plunge > DMC, > > Thank you very much for taking your time to comment OSTE. After > read your message twice, I am not so sure I am convinced. Here are the > reasons: > > "It was making fairly short, squat candlestick forms in the last run up to $16.30 as volume was tailing off." > > Are you refer price up run on 7/11? If it is correct, then do you > suggest that there will be selloff after price run up for 19% in 4 days? > Take an example, in May RRI run up 9 days out of 12 days for 31% > without volume support. There was no selloff. > > " ...$14-15.50 area. This indicates possible support at this level, but also a lot of shares changing hands. Profit taking." > > You are right every time a stock went to new high, it will be profit > taking. However profit taking doesn't explain today's selloff. Selloff > is totally different from profit because after that in most case the > stock will not recovery in months. > > > "RSI was clearly tiring last month and forming a big negative divergence with the price action; bearish." > > I am not sure the parameters you are using. I use 6-3. > > > "the overall market is incredibly topsy here," > > > Do you imply that selloff was caused by today's market? I saw KYPH up > 24% today in same medical equip group. others like NSIT up 31%, THER > 28%, SMMX 19% and PCLN 26%. If today is 9/11, then your point holds > truth. > As I mentioned, it probably has similar reason as AKSY today. > > Thanks again and good night, > -Hong > > > > > - > -To subscribe/unsubscribe, email "majordomo@xmission.com" > -In the email body, write "subscribe canslim" or > -"unsubscribe canslim". Do not use quotes in your email. - - - -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 Author): Re: [CANSLIM] Extrapolation "DMC197807"
Next in Thread: Re: [CANSLIM] Extrapolation Hong Hsu
Articles sorted by: [Date]
[Author]
[Subject]