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Strategies & Market Trends : Strictly Buy and Sell Set Ups -- Ignore unavailable to you. Want to Upgrade?

To: Ottrose who wrote (596)	11/29/2004 3:52:20 PM
From: sam_n_cctx	Respond to of 13449

Ottrose, yep,, ty sir bum,, for the heads up on TMR. i am out with a 12.71% gain according to my medved quote tracker. But, speaking of quote tracker, does anyone else on this board use it? please PM me. in particular, does any one here use the raw data feature in MedVed quote tracker. i do not yet trust this feature in MedVed,, but for what it's worth, it recorded a sale of 61,300 shares @ 15:38:51, which to me is an institution, deciding to move on. fwiw sam

To: Ottrose who wrote (596)	11/29/2004 3:59:15 PM
From: chowder	Respond to of 13449

Welcome aboard Ottrose, it's been a long time. Nice to hear from you. TMR is close to breaking down below support on the hourly chart. I think if it hits $6.65, I would take some profits. If we see a print below $6.65, I think it drops to $6.40 where we may see another buying opportunity. The reason for taking profits at $6.65 is because we can't guarantee $6.40 would hold. LNG is looking great. If in, stay in and enjoy the ride. Sort of hard to pick a buying point on this one if wanting to get in. I prefer to buy off support levels but this one just keeps on going. I'll respond to you TA vs FA later tonight, gotta watch the close. dabum

To: Ottrose who wrote (596)	11/29/2004 8:21:11 PM
From: chowder	Respond to of 13449

I do understand that there is a great deal of comfort for people who base their investment decisions on fundamentals. I used to do this myself. I approached fundamentals from a bottom up approach. Then something drastic happened that changed the way I look at stocks. The companies were feeding us bogus information. How can one base a solid financial decision on bad numbers? Why do we put so much faith in something we can't verify ourselves? It's not as though we can walk into a company and look over their financials ourselves. We must take their word for it, and the word of those that inspect the information, and if the 90's taught us anything, it should have taught us that we can't trust either side. The more I thought about it the more I concluded that I needed another approach to investing. What is it we are looking for when we think a company has solid fundamentals? We're looking for others to see what we see and then hope that they will start buying and drive prices up. Buying, that's what we want to see, buying. Isn't that what technical analysis shows us? Whether there is enough buying interest to drive prices higher? At least that's the way I use technical analysis. When you have lots of buying, even companies with poor fundamentals will see their share price rise. Does it matter what the fundamentals are if the price is rising and we are aboard? Do the fundamentals make us feel better when we see our profits slip away or the price heading in the opposite direction from our entry? Isn't the objective of investing to make a profit? And in order to make a profit, don't we have to see more buying than selling if we are long? It makes a lot more sense to me to monitor buying and selling than it does a PE ratio or PEG ratio or company earnings. When company earnings are announced, we are hoping to see more buying. It all comes down to buying. The more buying there is, the more profits there are. Why not just monitor buying? That's what technical analysis does. It measures buying and selling pressure and shows you logical points where the odds of more buying or selling pressure will show up. You can manipulate earnings. You can't manipulate, over a period of days, whether there is buying or selling pressure. Where people get into trouble with technical analysis is that they think it is supposed to predict the future. It doesn't. It shows you the logical points for buying or selling pressure and when it doesn't do what you think it's supposed to do, you get out and save your capital. The other place people get into trouble with technical analysis is that they ignore it when it doesn't indicate what they want it to indicate. You can't will it to say what you want it to say. You use it to measure buying and selling pressure (the things you want the fundamentals to eventually do) and you look for logical points where buying or selling pressure will increase or decrease. Some of my most profitable trades have come from companies whose name I don't even know, never mind what industry they are in. None of that really matters. The only thing that matters is buying and selling pressure or lack thereof. There's always the danger of buying a company who is about to go bankrupt. You can minimize that risk by avoiding low priced stocks. When one has a good understanding of technical analysis, they aren't looking back as so many fundamentalists seem to think we do, other than to see area's of buying or selling pressure. We are looking at the next bar or candlestick and how it relates to today's. We are trying to project the next bar and if it doesn't follow through, we have a plan of action to protect ourselves. That's a lot more than fundamentalists have. Fundamentalists can make money but they don't keep much of it. They give a lot of it back while they hold on because they think the fundamentals still look good. They ignore the selling pressure that is driving the price of their stock down. It's all about buying and selling pressure. That's all you need to know to make money. Then it's a matter of managing your positions and capital to insure you keep your money. dabum