| | | Hi, BigSky.
A few general comments on your list.
Remember, this is a forum about buying and selling stocks by using Ted Warrens chart patterns to help spot buys in the real low range of the stock.
Robert Furman has convinced me that we should look at a few fundamentals. These are things thatTed seemed to feel didn't matter if the chart pattern/formation was right and I2000 and I have had a good bit of success in the past doing just that but I am beginning to think Robert (Bob) is right that fundamentals increase our chances of picking stocks that have a better chance of achieving 400% or more rather than 200% to 300% that Ted was always looking for initially with his picks. Ted would go for more if he felt the stock chart was revealing it had the power to go for higher levels. I'm thinking that the fundamentals are part of the key to these higher profits.
I2000 and I stick to stocks on the American markets. We will buy stock in companies from Canada but we want them listed on the American markets.
Part of what Ted was depending on was that the general public's buying and selling was highly led by their emotions and those emotions were reactions what they saw the stock doing. Teds methods let us ride the coattails of the manipulators. The manipulators would buy in the real bottom range and then, as they drove the stock price up, the public would see the stock moving up in the charts and there emotions would go from fear to excitement. Their buy pushed the stock in a frenzy to a chaotic top where more and more of the public would buy shares that the manipulators (and hopefully us as well) would sell them our share before the stock began its down move, leaving the public holding the stock on the way down.
So we feel it is important for the huge group of public (retail) investors (suckers) to be seeing the action of the up move. That most easily happens for stocks listed on the American markets.
That said, the last four stocks on your list are on foreign markets (CEI and TELL) or not traded at all on a major market (IMBI and HCDI seem to be traded on the lesser OTCs like the "pink sheet"). Those four proved part of my point since I had difficulty getting any information about them and I did not find their charts available on the charting services I use. For that reason, I will not try to comment on them. Doesn't mean they will not move up -- but I can't make any decision about them.
Of the others, I'm not sure what you are looking at but I don't see an Ted pattern that I would use for a buy signal on any of them except for BTBT and UUUU.
Neither of these stocks pay a dividend but otherwise the fundamentals I am looking at are not bad. Both had negative EPS but that is common for stocks in a very low price range, just as it is rare for a low priced stock to be paying a dividend. Why else would the price be be low if earning were actual good. Anyway, it appears that estimates for the next year and/or quarter are for improving earnings and that is good. Earning trend can often be more important that earnings. Also, both have extremely low debt. Actually, UUUU appears to have no debt according to my source, Finviz.com.
As for their charts, both had down trends for 2 or more years followed by rounded bottom for one and a flat bottom for the other, and both had a quiet period before a break out buy signal. After small moves up, both appear to be bouncing up and down in what may well be consolidation. I think either could be bought and if I was buying I would try to buy in the bottom range of the consolidation. One thing though, you never know how long the stock will continue in the range. To say more, I would have to re-read Ted's chapter on consolidation periods.
Bob has access to more information through his broker's web platform than I have been able to find. Maybe he will check these two out.
Good luck and Happy Trades to You.
WEagle |
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