Market and Investors.com - part 2

Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
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Click on the Chart to enlarge.

Below is a chart of DJIA 2/12/08.
Possible support trendline.



Below is a weekly chart of DJIA close - 2/12/08
Notice high volume - dow trending in this area for several weeks.



Below is the NASD daily. Close 02-12-08.
Possible resistance to support line.



Below is the NASD weekly. Close 02/12/08.
Several weeks above the trendline.



02-12-08 Stocks on the move page IBD.
You want to review the stock check-up, review the other charts in the same industry.
You will see if the industry looks ok while reviewing the charts.

WW appeared on the list. The Stock Checkup revealed FCN, EXPO, ICFI, BKR, WW as the best in the Industry Group. We will review the charts below.
If you review IBD data daily you will be in tune with market and able to make your own decisions regarding your money and your investment goals. You will become the "expert".


Below is a daily chart of WW.
WW had 2 very high volume days. Maybe institutional buyiing. You want to reviw other charts to determine if institutions are accumulating other stocks in the same industry. This chart is very choppy. Extended over the 10 MA, not a good buy at this time.



Weekly of WW. Help you to determine a trend.
Trendline of possible support drawn on chart. Notice the 40 MA weekly is above the 10 MA weekly. Similar to 200 day over 50 day. Nice up volume on the weekly chart. The weekly chart filters out the daily noise. (choppiness)



BRK was a stock found after using the stock checkup page.
Stock is trading between the 10, 20 MA and the 50 MA. The 10 ma is moving up and crossing the 20 MA. Like to see 10>20>50 for an uptrend.



BRK weekly
10 MA weekly below the 40 MA. Would like to see 10 >40 for an uptrend.



EXPO daily.

Nice up volume spike. Possible accumulation. It is has pulled back to the 10 MA.



EXPO weekly.
Some nice up volume weeks.
10 MA > 40 MA. Stock appears to be in a weekly uptrend.



FCN Daily.
10 and 20 MA lower than the 50 MA. Could be rolling over to the downside. Lower Bollinger Band is Horizontal could be starting to base here. Caution is the keyword.



FCN weekly.
10 MA rolling downward. 40 MA still uptrend. Weeklt uptrend still is valid. Seems to beholding the 55.50 area.



ICFI Daily.
Stock closing in upper BB. 10 > 20, 50 MA. 20 Ma and 50 MA are very close. Volume is light.



ICFI Weekly.
Possible support trendline drawn on the weekly chart.



Investors.com is filled with useful information that will assist you in your investment goals.

How to use Investors.com

Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
http://stockcharts.com/

Click on the Chart to enlarge.

If you are new to investing Investors.com has a wealth of information.

The "How to Invest" tab has "The Learning Center" which provides:
Lessons on Buying and Selling
CANSLIM
Lessons on Options
A Financial Dictionary

Investors Corner and Investor Education also has information to ease the investing learning curve.

The Home page has Several sections:
"In The Market" provides Market information.
"Media Center" has mini-videos covering the New America Report,CANSLIM Guides, and Daily Stock Analysis - this video will help the novice and the expert review charts.
Breaking News will stream news such as earnings, etc.

The "Stocks on the Move" is a key to profiting in the Markets. This section will list Stocks going up and down on higher than average volume for each particular stock. This usually is an indicator of institution buying or selling.

The above comments are my summaries of Investors.com. For detailed explanations of each area please see the site.

You should watch the DSA (Daily Stock Analysis ) on a daily basis until you feel comfortable with reading Daily and Weekly charts.

Next review the Stocks on the Move section. Look at both the Up and Down tabs to get a feel for the stocks that are moving up and down. On huge Down days in the market, make a list of stocks moving up. These will generally be the stronger stocks when the market decides to resume the uptrend.

Many people have a hard time and do not know where to start. This is an excellent source of information. To the right of the stock symbol is a checkmark. If you click the checkmark you get a stock check up provided by IBD as discussed in the Daily Stock Analysis videos. You will see the 5 best stocks in the Industry Group along with other information. Make a note of the Industry Group if you see stocks in the same industry group appearing on this page within a few weeks. Then Institutions may be accumulating positions in the sector. The same goes for the Down side. When Institutions buy - Stocks go up, when they sell- Stocks go down. This is a good tool, so you can stay ahead of the general population.

At the market close on 01-29-08. The Up stocks were: RATE, PRSC, GFA, FSLR, CHU. The Down Stocks were: ICUI, NHWK, DM, VMW, JDAS.

I will go through one example using RATE. Your market performance will be directly proportional to the amount of research that you do everyday. More research should give you better results.

The Stock Check-up of RATE provides some of the following:
Diagnosis A+
Industry Group = Internet Content
Group Rank A

The 5 best stocks above $10 in the Group sorted by best overall rating are:
RATE, BIDU, SNDA, SOHU, and JRJC.

Next you need to look at the charts to see how the Stock and Industry are looking technically. If the charts look good and similar watch to see if institutions buy other stocks in the same industry in the near future.

Look at the Daily and Weekly barcharts using IBD. Then look at candlestick charts with some overlays to get a better picture of the technicals.

Below is the Daily Chart for RATE.
Rate appears to trade with high volatility (wide swings). The 20 MA is above the 50 MA. The 10 MA has just crossed above the 50 MA. JAN 28 RATE closed near the trendline. JAN 29 it pierced the upper BB and pulled back a little, leaving a show on the top of the candle. This stock should be observed at this point since it is higher than the moving averages with a gap. It will most likely pull back or base sideways at this level.



Below is a Weekly chart of RATE.
Two possible trendlines have been drawn on this chart for support and resistance. RATE has had 3 weeks of up volume in a down market. That could be considered strength.
This stock is too choppy for me. The up to down swings are too large.




Below is a Daily chart for BIDU.

This stock has fallen and may be attempting to base at this level. But is also is not a buy here.


Below is a Daily chart for SNDA.
It has some of the same characteristics as BIDU. It has fallen, pierced the lower BB, it has bounced higher and may be trying to base near this level. Not a Buy for me.



Below is a Daily chart for SOHU.
It has some of the same characteristics as SNDA. It has fallen, pierced the lower BB, it has bounced higher and may be trying to base near this level. It is in a downtrend along the 10 MA. Not a Buy for me.





Below is a Daily chart for JRJC.
It has some of the same characteristics as SOHU and SNDA. It has fallen, pierced the lower BB, it has bounced higher and may be trying to base near this level. It is in a downtrend along the 20 MA. Not a Buy for me.




This industry is not technically acceptable for me to buy at this time.

If you go through this procedure with the "Stocks on the Move" daily you will get a feel for what is working and what is not working.

Oilgas refineries appears to have bottomed. Look how the stocks move together.

Review VLO, HOC, TSO, ALJ, FTO, WNR. This is not a recommendation just an industry to observe. Review the weekly charts and determine if they are cyclical in nature.

Create a stock log (journal) and write down your findings.

You worked hard for your money, no one cares about your money more than you.
So invest wisely not on hype or other people's opinions.

Have a great day!

Chart Basics 9 - Market 01-22-08

Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
http://stockcharts.com/

The Chart below is the DOW for 01-22-08.
Click on the chart to incease the size.

The Dow closed at 11971. The approximations for the drop that wee drawn on 01-15-08 have been re-drawn on this chart. The Dow Opened near the close of Friday 01-18-08 which was near the previous support line.
The Dow fell very close to the previous resistance. The Candle of 01-22-08 pierced the Head and Shoulders measured move. The Closed near the trendline.




Below is a chart of the Nasdaq with possible support lines that were drawn on 01-15-08. The Head and Shoulders measured move pierced the candle of 01-22-08. The close of Friday 01-18-08 was near the Support -Resistance line drawn on 01-15-08.



Below is a chart of the SP500.
The Body of the candle was near the Head and Shoulders measured move tat was drawn on 01-15-08.



Below is the Daily DOW with a close on 01-22-08.
Was the volume enough to satisfy a bottom?

Chart Basics 8 - Market 01-15-08

Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
http://stockcharts.com/


Below is a Weekly chart of the DOW - Head and Shoulders possible measured drop.
and various support and resistance zones.



Below Weekly Chart of Nasdaq



Below Weekly SP500



Below Daily DOW



Below AAPL - Which way will it go?

Chart Basics 7 - Review Dow from 01-02-08 to 01-08-08

Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
http://stockcharts.com/


Below is the chart of the Dow discussed on 01-02-08. This chart illustrates the Head and Shoulders pattern.



Review the Head and Shoulders pattern in the market. 01-08-08.




We will review what we have learned tonight.

Please set up Stockcharts - with the following Parameters.

Range - 6 month
Type - Candle
Size - Landscape
Volume - Separate
Check - Price Labels and Y-axis Labels

Overlays
Simple moving average - 50
Simple moving average - 200
Bollinger Bands - 20,2

Enter your Symbol and click Update.

For more information regarding charts refer to the Chart School on http://stockcharts.com/

Chart Basics 6 - CPLA and Market

Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
http://stockcharts.com/




CPLA - Notice consoliation period in August 2007. Bollinger Bands almost horizontal. The 10 MA, 20 Ma, and the 50 MA are located inside of the Bollinger Bands. A nice buypoint would be the breakout candle with high volume at the arrows.
Chart below.



CPLA - Secondary buypoints after sligh pullback and consolidation periods. Buy as CPLA breaks out with volume. Indicated with arrows. Chart below.



CPLA is turning down. CPLA has fallen below the 10MA and 20 MA. Get your stops ready. Nice sell stops - current price below the 20 MA, below the 50 MA, below the lower Bollinger Band, below the previous resistance ( which now should be support), below the previous support. Chart below.



NASD chart below. NASD closed at the 200 MA after falling below it. NASD is below the 20 MA and 50 MA not good. Watch for falls below the lower Bollinger Band and previous lows. Get your stops ready. And Short candidates.



SPX - does not look pretty. SPX is below the 20 MA, 50 MA, and 200 MA. Closed at the lower Bollinger Band. Watch previous lows. Getready to sell, sell, sell!!!
Chart below.



DJI is below the 20 MA, 50 MA, and 200 MA. The DJI closed at the lower Bollinger Band. Not Good. Watch previous lows get your sell stops ready.

Hmmmm Happy New Year??? Not Day 1 of trading.

Chart below.

Chart Basics 5 - Candlesticks NASD, PX

Chart Basics 5 - NASD and PX


Charts below are provided courtesy of Stockcharts.com.
Please visit their site for more chart information.
http://stockcharts.com/



What do you see in the NASD barchart below? 50 MA and 200 MA
WED, THU, and FRI Dec 19-21, 2007


Notice the WED, THU, and FRI closes when Bollinger Bands are present.
Chart below.



Notice Closes on Candlestick chart with Bollinger bands.
Chart below.



Notice candles at the 10 Ma and 20 MA on the chart below.






It appears as though candlestick charts will work for the markets.


PX will be reviewed in the charts below. The barchart has a cup and handle we will go through the technical analysis. The chart below is a barchart with a 50 MA and a 200 MA. Notice the cup and handle. A double bottom is also present on this chart ( underlines ).
50 MA > 200 MA = positive trend.




PX - weekly chart - verify trend and cup with handle formation.
40 weekly MA is approximately the same as a 200 daily MA
10 weekyl MA is approximately the same as a 50 day MA.




PX daily candlestick chart below. The Bollinger Bands are green, 20 day MA is green dotted line.
10 MA is red line. 50 MA is Blue line. Notice when Bollinger Bands become Horizontal and contract a move follows.





PX is upper part of BB. 10 MA > 20 MA > 50 MA.



Chart below - In the left circle you can see that the 50 MA acted as resistance. In the right circle the 50 MA acted as support. A resistance buy point line was drawn at the top of the chart.



PX could have been bought on this white candle as it broke resistance. If you missed it hopefully it will pull back to the 10 MA. Chart below.



APD is in the same industry as PX - it is also breaking out of a tight Bollinger Band pattern with the 10MA >20MA >50 MA.




The chart below is ARG. It is also in the same industry and appears to be breaking out.





Chart below.
PX looks like it popped !@### Oh well see if it will pull back to the 10 MA.

Notice the gap between the 10 MA and the candle.

Chart Below.

PX pulling back inside of the Bollinger Band now. Lower negative volume.




Chart Below.
Ahhhhh PX hit the 10 MA now wait for a positive day. I would wait for the next candles above the White candles body.




Chart below.
Buy on the white candle as it travel past the top of the previous white candle.
Notice the high positive volume.



How would you have done? Take a look below.
Cup and Handle with 10MA > 20 MA > 50 MA




APD could have been played as well. 10MA > 20MA > 50 MA.
Chart below.





Hope you can recognize the tight Bollinger Bands with the 10 MA > 20 MA > 50 MA in the future.

Remember the stock could turn take an explosive turn to the south. So monitor closely until you have a cushion.

The above examples are for illustrative purposes only.

Good Luck.