Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : INTEL TRADER -- Ignore unavailable to you. Want to Upgrade?

To: Jurgen Trautmann who wrote (9191)	3/8/2001 3:49:39 AM
From: Berney	Read Replies (1) \| Respond to of 11051

Sorry I couldn't answer your TA question re KO before stepping in. Unfortunately, this is that period of time that I have to make a living. The 100 hour weeks are tough, but, fortunately, it only lasts until April 15. I believe that from a FA perspective KO is a bloated whale and should be harpooned. Nevertheless, I believe the point to deliver the harpoon is ~$60, not here. For a couple of years, KO has been in a very slightly decreasing trading channel. I've currently got the trading channel at ~$41.60 x ~$60.80. I've got the middle fork at ~$51.50. JMHO, BWDIK and just a view from the swamp. As to why TM only plays with FMAGX and OEX, I'll respond. First, and foremost, he is a very lazy Dude. He lets others rake up the leaves from his yard and complains that they put them in his possible garden. (A private joke) Really, he is playing his retirement plan, and I would suspect, that it is about equal to your investment assets. However, the game rules that he plays by are that he can only trade at the end of the day and can only use a diverse group of Fidelity funds. As he noted, by using our developing method, he was up 26% last year, while FMAGX was down 12%. I was impressed as I did not fare as well. Why FMAGX as opposed to other Fidelity funds? Well, again, he is a lazy Dude. Occasionally, his employer requires him to earn his keep. Maybe, it has more to do with my hypothesis that the Big Boyz rule, and the rest are left the scraps. Maybe, it has to do with the fact that FMAGX is very forgiving of entry and exit errors. It tends to rise at a market rate, yet tends to decline less so. At least, most of the time. Why OEX as opposed to other Indexes? Well, our hypothesis is that they are all connected at the hip, and will rise and fall together, only the degree may be different. Again, we have my Big Boyz prejudice at work here. Just A View from the Warmth of the Swamp TB

To: Jurgen Trautmann who wrote (9191)	3/8/2001 11:00:04 AM
From: Trading Machine	Read Replies (1) \| Respond to of 11051

JT RE: Why FMAGX and OEX. Regardless of what the swamp king thinks of my demeanor, I am not lazzzzzzy, I just take frequent NAPS! ggggg Seriously, first my company will only let me play with a few funds in the Fidelity family. They will let me mix and match some of the select funds with the money I have contributed but none of theirs. And it goes on and on as far as company rules go. So I decided for the sake of simplicity to just do FMAGX more than anything. After I made that decision, I was talking to Berney one day and he said that market timing didn' t work (which is the conventional wisdom offered by everyone I know) and that trading at the end of the day was a further insanity. ggg Confronted with a challenge, any engineer worth a toot will take the challenge. This was the case with trading FMAGX. I tasked Berney to come up with a set of indicators that would tell us what would happen in the short run. He came up with a combination of stochastics, MACD, and trend line applications that give us a set of decision points. We don't attempt to look at long term stuff, anything over more than a few days is beyond what we normally do. The next problem was that we did not have a chart of FMAGX at the time and didn't know how to get one. So Berney looked at the holdings of Magellan and noticed that they looked a lot like OEX. We had charting tools to look at OEX with, so I started charting and gauging OEX each day and correlated that to a trade of FMAGX. Now I have a charting tool (Quotecom) that gives me a chart of FMAGX. The problem is that I like finer granularity than just a daily chart to do some stuff with, so I still use the 60 minute charts of OEX and apply them to FMAGX trades. We have found that the introspection into OEX is useful in other ways also. For instance, I rarely trade anything if OEX 60 minute is not positive. We have found that when OEX is dropping so are most of the stocks that I would normally be playing with. So in that respect it is a good sanity/idiot check. Hope this helps JT, CU Paul (lazzzy) Kellam