I really regretted I did not notice this graph before. But there is no point of it.
Time to analyze it on the reason why I’d purchase the stock/ option of the stock if i’d have seen it
FMG (Fortescue Metal group), an Iron ore mining company that would rival RIO Tinto and BHP in Australia. BUY 18th Sept 2008
1.The trading volume has steadily increasing for the last 5 trading days.
2. On 16th Sept, there is a ‘false’ hammer candle stick on rising volume (slow) and on 18th the hammer reversal showing a significant change in volume increase despite a very bad day from US Market.
3. Watch stochastic from 11 and 17th of September. WHILE THE PRICE IS MAKING A LOWER LOW, THE STO INDICATOR IS MAKING A HIGHER LOW.
4. on 18th , while the price is suffering (hammer reversal), the STO is INCREASING!!!
5. Should purchase a little ,and if it is an up day the next day, BUY MORE
on October 2nd 2008 in CFD, Education, TA
Some of my friends and family members is trading in JSX (indonesia stock exchange), KLSE and Shanghai stock exchange.
The most prominent and often question that is raised is that, since the market capitalisation is small and there are a lot of amateurs, the ‘market movers’ is often a big fund or the so called ‘Boss’. The title is often referred to someone/ an institution that has access to insider information, trying to manipulate the ’small fish’ psychology and drive them into taking a huge lost.
Normally in these markets, the market regulator is weak and HELPLESS
the ‘boss’ is said is so powerful that it can ‘create’ and close the market and produce such a graph so tricky for any TA analyst. Dont ge me wrong…. I have seen such a graph that 90% of my indicator strongly suggesting a buy and without any news or anything, it just simply flunk 10% the next day!
So the question is,……
WHAT IS THE POINT OF TA IF THE GRAPH CAN BE MANIPULATED?
here is a quote I found in trendtrader.co.cc
Being wrong is acceptable. But staying wrong is totally unacceptable. Being wrong isn’t a choice, but staying wrong is. To play any game successfully, you have to have some skill, an edge, but beyond that it is money management. Good traders manage the downside; they don’t worry the upside. - MARK MINNERVINI
Should answer one question at a time =)
on October 2nd 2008 in TA
A while ago, when my OBV indicator had an issue, I tried on AD indicator. I should not overload myself with too much indicator or i would get confused, but briefly, just for the sake of understanding, I google it.
I chose the information tab from stockcharts.com and I found that the nature of this indicator is quite interesting.
Stockcharts gives complete explanation on how does it work and how can you apply it on your trading.
The last picture is from my trading platform of AMAT (APPLIED MATERIAL)
Oerlikon and AMAT is currently the only manufacturing with turnkey solution for thin film Solar PV cell.
As you can see, often OBV and AD indicator moves on a different direction.
I’d talk more on this after i get a better grip on the indicator.
on September 25th 2008 in Education, TA
FA is where i started and slowly to come and approach TA and has been working quite well for me.
Is it possible to predict future from the ‘past/history’ ? , Well, it has been a debate and TA is not about predicting future from the past and TA is not a science as well.
In my defense, TA is probability theory based on price and volume movement. Some people, or most people purchase an equity based on their ‘mood/feeling’ or how fundamentally sound is the general and specific economy.
TA is about cutting your lost small and letting your profit to run.
-yes, you can still make money consistently although you are wrong most of the time.
-yes, you can still lose money consistently although you’re right most of the time.
With the current volatility in the market, the direction is unclear. I am still holding a view that this thing is just waiting to collapse. What will happen if I can get a job next year, I have no idea.
am I scared? Just like everyone, but whoever it is, the collapse may not be isolated.
Fed is still struggling to do ‘quick patch’ the economy, but they’re treating the ‘patient’ not healing. And at times like this, I am very very tempted to analyze the situation with FA.
I need to stay consistent with my analysis way… although the sector may be chosen with a little FA help
on September 25th 2008 in Education, FA, TA
