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.

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

To: Bob V who wrote (1800)	1/13/2005 8:27:40 PM
From: profile_14	Read Replies (2) \| Respond to of 13449

Yep, but RIO has given me a nearly 10% profit and SID just about 13%. I posted those trades here at the time but the chart confirmation was not established. By the time the charts confirmed the move, the bulk of this gain had been had. Furthermore, I know that there are negotiations going on for steel prices and that they will result in a 20%-40% price increase, which will go strictly to the bottom line as cash flow. If one uses fundamental analysis, annual patterns, and takes a little read here and there, these gains are for real. You can take bigger positions and do well. I try to anticipate turns when things get out of hand. The trick is in defining "out of hand." Everyone has his measure. Discipline is key. But the homebuilders are out of hand on a fundamental basis, TOL on a relative basis, and from a technical perspective, if anyone believes a stock can continue to go up in an accelerating fashion like this forever, they are crazy. This is a blow off top formation in the making, and the pullback will hurt. Again, it is my opinion and I am trying to anticipate this move. No stock goes up 5% a day without correcting. Rates going down is crazy at this juncture. It will make the inevitable that much more violent. I also shorted the TLT, the Lehman 20+ Yr. exchange traded fund (ETF) as I believe rates will go down. This is testing the horizontal resistance line for the fourth time now.