DK, I'm not fond of Bigcharts as it is slow. I also don't remember but I think the MACD is canned there (meaning that they give you a set of options) vs. the site I pointed out that allows you to adjust the slow period, fast period and signal. I like that option.
I realize you are looking for cross-over, but it looks to me that cross-over is imminent, although it can be hazardous to predict things like that.
Very hazardous. If you look a TMAR, several times over the past few months you might have been tempted to jump in because the lines were about to cross. I'm not sure they actually crossed yet myself, but it was part of a pattern that I was looking for.
1. MACD about to cross, or already crossed.
2. OBV positive
3. Money flow positive.
The we get down to some basic chart reading. I like to see a start of a new trend up before I put money in. TMAR met the criteria. I gave CDG as an example of something that is so close if you have a long term horizon it should not matter.
As others have pointed out, earnings are still the key. Once all the smoke and fear blows away from the field, earnings will either still be there or they won't be.
I think what I was trying to show was that earnings are not the key but only a component. The earnings have to be there eventually as you point out, but if you go by earnings, you would have bought this entire area in November and had a wild ride all the way down.
Does it make any difference two years from now if all the earnings projections come true? Absolutely not. Waiting until the technical analysis turned positive allows me to get more bang for the buck if I do it correctly.
I'm looking for a minimum of 60% retracement in most stocks such as CDG, for example
Either you won't get the retracement and the stock is going to continue to gain ground and form the basing pattern it is in now, or you will get more than the 60% retracement because something else has gone wrong like the price of natural gas went south.
IMO, the bottoms are in. Now it is just a matter of selecting the best companies and waiting for the technicals to time your entrance.
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Dave |
