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Gold/Mining/Energy : Position Trading in Canada

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To: Ward Nicholson who wrote (2134)6/19/2000 12:00:00 PM
From: Vitalsigns  Read Replies (1) of 2259
 
Ward

What I meant to say was that I will play short term swings in any stock , but prefer the longer term trend to be up because that way it gives me more room for error. When a stock is strong the tendency is that it will rise, when it is weak the tendency is for further decline.

We all know that there is a difference in the time it takes for stocks to react to news. When a stock rises ,it tends to rise over a long term period of time , when a stock falls, it will do so at a much faster rate than the rise. So if the stock is nears it 52 week low the chance of further decline is much greater and all that it needs is for a halt or overnight news while markets are closed to kill a position. Granted it could happen to any stock but it tends to happen more frequently on weak stocks.

As the old saying goes " The market always knows".

Vitalsigns
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