RE: INNO and TIMING WITHIN A DAY OR WEEK
Inno closed down today at 5/16. This is slightly lower than the close last week. But it was a tremendous week, volume and price range wise. Much more than anyone expected. As I said when I first mentioned this company, this is not an overnight situation. But there is tremendous opportunity for both trading and longer-term appreciation. Probably a whole lot of us are saying "Oh, Poo" about now, but nothing goes straight up. I personally don't want to see a speculative spike in this stock, cause that often burns people. What goes up exponentially also comes down exponentially. A slow, constant up tick is much better. I still have a lot of faith in this company. I'm not looking to retire on it. But who knows.
I have made some comments in some of my posts about how to work a market, when to buy, when to sell, etc., and here is a run down of some basic patterns that I have seen in many stocks.
1) Don't buy on Monday morning. The weekend is a time that many people devote to researching stock picks, and then they all come to market on Monday. Trade during the middle of the week.
2) Don't use market orders, especially Monday mornings. Supply and demand control prices. When the demand is great, the MM raise prices.
3) Don't trade at the beginning of the day. All the computerized orders are filled at the open. Thus the spikes up or down at the open.
4) A second busy time is between 1-2:30pm. The institutional investors and wall st. folks all go to lunch, talk about what is happening, and come back & trade each other's ideas.
5) Day traders have to get out of a stock by the end of the day, by definition. Sell orders begin to pile up around 3:30. That is often the best time to buy.
6) Panic selling also occurs at 3:30. The horizon for "I better get out now" begins to pressure traders at this time too, so sell orders are entered.
7) Some people weekly trade. They like to clear their accounts (convert to cash) by the end of the day on Fri. For some reason, they think the end of the world might happen over the weekend. I'm not that paranoid, but some are. So Fri. afternoons have lots of sellers in many stocks for this reason.
8) Place your market orders within the spread given by the MM. You are the buyer/seller. You don't have to accept their prices. Negotiate. You can trade in 1/256's. Even the big stocks.
I hope this helps.
Good luck to all.
P. Webster |
