27th May 2011–Pattern Study–RDN

Ticker:

 

1. RDN

 

Topic:

 

1. Is this double bottom going to make it? ---- I seriously doubt it!

 

Lesson Learnt:

 

1. Not all double bottom will make it, be selective when you make the trade.
2. RDN definitely look very dangerous from the daily chart perspective.
3. If you follow my post at http://stockaki.blogspot.com/search/label/RDN on 20th April, you would have made quite an amount of $$.
4. Well, did I make the SHORT trade? Again, the stupid one is ME!

 

Intraday Chart

--- I think it is better not to look at the intraday chart. It may lure you in prematurely.

Historical Chart

27th May 2011–MaRVeLous MRVL pattern

Ticker:

 

1. MRVL

 

Topic:

 

1. A Head-n-Shoulder follow by a Double Bottom

 

Lesson Learnt:

 

1. Follow what the chart tells you and you will make money safely.
2. When you see Head-n-Shoulder, short it.
3. When you see double bottom, buy long.

 

Intraday Chart

Historical Chart

25th May 2011–Heading SOUTH. Home Sweet Home

Ticker:

 

1. SPY, DJIA, NASDAQ

 

Topic:

 

1. My friends told me that each time I travel SOUTH back to my hometown, market will head SOUTH too. Is that true?

 

Lesson Learnt:

 

1. Things definitely don’t look pretty for this month.
2. All 3 indexes are getting lower and lower, clearly seen in the intraday chart. 20MA line and 50MA line have become resistance rather than support line.
3. Daily and weekly charts of all 3 indexes look uglier than I look. The only exemption is DJIA weekly chart which is still ok.
4. NASDAQ chart is the ugliest among all. Broken all trend lines and most MA lines.
5. To be frank, I will not be surprise that this trip of mine heading SOUTH will actually CRASH the market, but I do hope that is not the case.

 

Intraday Chart

Historical Chart

25th May 2011–Citibank is so far from home.

Buy $	Sell $	Sell Short $	Buy Back $	Stop Loss $	Profit / Losses	Duration
	39.90

 

Reason for Buy / Sell / Sell Short / Buy Back:

 

1. I gave the banker a chance to perform, but all it does is a DOUBLE dip from the $41.00 support line.

 

Lesson Learnt:

 

1. Again, many lessons to learn from this BAD trade.
2. When it did the first dip from $41.00 to $40.60, I should have get rid of it there and then.
3. Yesterday night, I actually waited for the second dip to come and gave me confirmation that I screwed up.
4. Maybe I should wait for C to come back to the trend line before I call my sell. Normally a "strong" stock will to that kind of retest at the trend line before it decide again where it should head to.
5. Maybe it is my mood that tells me not to hold any bad stock before I make my trip back hometown.
6. Long term weekly chart for C looks as UGLY as I am. It is definitely not a healthy looking chart. Maybe by the time I come back, it will be just nice for me to talk to the banker again.

 

Intraday Chart

Historical Chart

23rd May 2011–Driving back to hometown

I will be going back to hometown on 1st June for a week. Since I am driving South, and I don’t have good access to internet, I think I am going to reduce my holding.

Good Luck to all the Traders out there.

23rd May 2011–Up on another Tiger 奇虎(难下?)

Buy $	Sell $	Sell Short $	Buy Back $	Stop Loss $	Profit / Losses	Duration
27.30				23.90

 

Reason for Buy / Sell / Sell Short / Buy Back:

 

1. Just before I get in, everything looks real good.
2. I saw a gap up at the opening and then set a price to catch it. BIG MISTAKE.

 

Lesson Learnt:

 

1. Don't get emotion.
2. Don’t trade at the opening.
3. Trade after 12:00am.
4. Recently I have been very emotional. Have to change this bad attitude.

 

Intraday Chart

Historical Chart

22nd May 2011–My Analysis

BULL or BEAR ??

 

Short term (1 week)	Long term (1 month)
-- All indexes are weak. Below 20MA line and testing 50MA line. Monitor closely all indexes weekly chart. -- Many data coming out next week. Can be very volatile. -- UUP is quite bullish recently even though it is still in the down trend in the weekly chart. -- Direction of GLD and SLV is quite confusing now.	-- All ultra short ETF are making higher high. -- No sign of improvement in Baltic dry index.

 

Next Week Economic Data:

 

 

Input:

 

1. Quite a number of reports coming out next week.
2. Should be quite volatile.

 

VXX chart:

 

 

 

Input:

 

1. One thing I just cannot understand. Indexes are getting weaker and weaker, but VXX is making another low. The direction is very confusing.

 

SPY chart:

 

 

 

 

Input:

 

1. SPY cannot make it through its daily 20MA line and also below the short term trend line. Now it is coming to test the 50MA for the second time.
2. I personally don't like this.
3. Intraday 20MA line continue to be a resistance line.
4. The only encouraging sign is that weekly chart still shows that SPY is still above 20MA line and it does not look like anything bad is coming.

 

DJIA chart:

 

 

 

 

Input:

 

1. Same like SPY. Only the weekly chart looks acceptable.

 

NASDAQ chart:

 

 

 

 

Input:

 

1. NASDAQ is even worst. Daily chart tested 100MA line once. Now it is still below 20MA line.
2. Again, only weekly chart looks good. Still above 20MA line and staying above trend line.

 

UUP chart:

 

 

 

Input:

 

1. UUP is quite bullish recently with encouraging volume. However, weekly chart shows that it is still inside the down trend line.
2. Next resistance is at $22.00.

 

Sector Analysis:

 

 

Input:

 

1. XLP, XLU and XLV continue to make wonders.
2. The rest are sitting on the down part of trend line.

 

GLD, SLV, Petrol and Natural Gas charts:

 

 

 

 

 

 

 

 

Input:

 

1. GLD came to daily 50MA line support. Double bottom and then the triangle formation setup and shot up from there. Fantastic gold bullion. Now it is right above the daily 20MA line again. It is not easy to short gold, so be very careful.
2. SLV is in a very hard to trade position. Intraday and daily chart seems to shows that bull has the upper hand. Daily chart shows that is has climbed back up to the 100MA line and sits there.
3. Weekly SLV chart shows that the 20MA line continuously act as a resistant line. However, the rally of GLD might help SLV.
4. USO coming to two strong weekly support lines 50MA and 100MA lines.
5. UNG looks extremely bearish. Don't touch it.

 

FXI (iShares FTSE / Xinhua China 25 Index Fund) chart:

 

 

Input:

 

1. Weekly FXI chart shows that its uptrend still intact even though it si struggling at its 20MA line. It is still above its uptrend line and 50MA line as a support.

 

Baltic Dry Index chart:

 

 

Input:

 

1. Nothing to cheer about (yet).