Posting Times

Posts will be between 8:30 PM to 10:00 PM PST
Mikey's Short Term Trading Rules

1) Make up a list of stocks, commodities or ETF's to trade. This list should be names that have good earnings and high relative strength.
2) Monitor this list and throw out the weaker names
3) Buy only stocks or ETF's that are intermediate and daily up (green) and the market is Daily and intermediate term up (green)
4) Buy pullbacks on these stocks to the 20 and 50 day averages
Usually you get 4 to 6 20 day pullback buys and 2 or 3 50 day pullback buys in an intermediate term trend
5) More agressive traders can buy the 7 day average in the first 3 to 8 weeks of the uptrend.
6) Buy pullbacks not runups. A buy should not be easy or exciting but difficult and somewhat scary. DO NOT CHASE
7) Place stop at 5% below the buy price. Do not remove
8) Sell 3 to 5 days after the stock price takes out its most recent 2 week high with at least 15% gains
9) Uptrends that are 12 weeks or more may be ripe for a correction. The first 2 pullbacks to the 50 day are usually safe.
Intermediate term uptrends and downtrends generally last from 8 to 16 weeks with 12 weeks being the norm.
10) Shorting is a viable strategy in downtrends for experienced traders only. In general, reverse the above rules
11) Tweet Mikey @themarketshadow with questions or ideas

Wednesday, November 5, 2008

Barack Wins .Hey that's no reason to buy the market....Perfect

6:55 DJIA 9462 -170 VIX 49.85 Gold 752.60 -4.70 Oil 68.48 -2.05
Election Is No Reason to Buy Stocks: Analysts

Barack Obama's victory in the U.S. presidential election is not a good enough reason for stocks to rally, as it does not change the fundamental problems of the world economy, analysts told CNBC Wednesday. "This is another, if I may use my term, 'fally', which is a rally based on fallacy … the rally of a new presidential election. Nothing is changed. The US economy is deteriorating day by day. There's no reason to rally right now," Kirby Daley, senior strategist at Newedge Group, told "Worldwide Exchange.

We have just rallied almost 2000 points off of the low for no apparent reason. That works for me. I don't need reasons. We get reasons to buy I will start selling.
Posted by at

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)