A good time to buy a stock is when the 50 day goes up through the 25 day line. Normally I like to buy a stock when they go through resistance which is at 70 or so for PEB, but if you look at the bottom and how it recovered, it has an upward bias to it, I take that as being the beginning of an uptrend. askresearch.com
notice how the stock has been making higher lows and bouncing of the lower channel line (connect the low from da low <g>). The resistance area is where the stock rebounded from in may, then flatten out then went down again to mark the beginning of the lower channel line.
Greg--> Who should be on PPS like one of those cooking shows, but with the title, "Cooking the Books, A chart readers guide" ot how to read charts with your minds eye. <ggg>
Enter in JNPR notice how the stock flatten out at 135, that was resistance, today I beleive it broke through, at least I hope it did. The close for JNPR and how it acts in the next few days will be the tell for it, next resistance, and it's a big one, is the old high in the mid 150's, I will be amazed it makes through it with any problems. Most the stocks I bought off the low are starting to make a move to their old highs they should have trouble at that area, that is way I'm looking for others like PEB that will ride up with the others that first recovered then continue while the first ones that recover work of the resistance at their old highs, at least the plan, if I don't get distracked in the mean time that is.
Greg |
