DB,
Thank you for the kind words. People who use TA have one, extremely powerful advantage in the stock market: if they are using it correctly, they remain very neutral, very calm on any ticker symbol or derivative.
I don't know how you can retain that kind of equanimity if you have absorbed 7,563 pages of "fundamental" story on a sector, a subsector, a world economy, conspiracy theories and a company's management and products. I don't believe you can stay neutral, I think the "story" begins to occupy your mind ("taking mindshare" is the term, I believe) and before long you find yourself in an argument with the Market. It always starts out, "This is ridiculous, this stock shouldn't be trading here," and middles with, "I'm buying more here, I'm backing up the truck," and ends with, "I'm out, I can't take this, I can't tell my wife what I did, just get me out."
Extra note: one other stock I commented on which I failed to update as of yesterday is MEOH. As anyone with a chart and a pulse can see, the downtrend is confirmed by the 2nd lower high following the 2nd lower low. Next channel most likely is the $15.50 to $17.00-ish area. Further potential targets in this downtrend (supports) are: 15.25, 13.80, 12.35.
Any strong reversal patterns on the daily chart would, of course, give rise to a different view, as per previous posts and analysis.
Kb |
