173 replies to this topic

[diogenes227]

mfrazier, thanks for the info. As for the NYSI one-point buy signal Friday -- ain't it SWEET!

[diogenes227]

Just an update on the NYMO Feb 9 Low>Low buy signal and the NYSI Feb 12 buy signal: TNA up 17 percent on NYMO, 9 percent on NYSI. BGU UP 11 on NYMO, 8 on NYSI. TYH up 12 on NYMO, 8 on NYSI. UYM up 12 on NYMO, 8 on NYSI. ERX up 11 on NYMO, 7 on NYSI. SPX up 35 points on NYMO, 13 points on NYSI. Getting kind of overcooked but ain't it wonderful? Good trading to everyone.

Edited by diogenes227, 18 February 2010 - 03:33 PM.

[edamat]

Congrats, diogenes227 for 1000th postings! Just to let you know that your postings are very much appreciated as I learn a lot from you, yet not good enough to contribute Please continue and other thread as well (sector mac attack). thanks

[diogenes227]

edamat, thanks for the comment. End of the week, and holy cow, the markets have so far survived the Fed and an overnight plunge in the futures. TNA is now up 20 percent from the Mac low above a low, BGU up 12 percent, etc. The Russell, if it closes up, will be up 8 days in a row. Last time that happened was April, 2004, and the index began a 10 percent decline the next day. It went up 12 days in a row and 10 consecutive days on two occasions in the 2003 bull market, so it can keep going but... Anyone heard the saying "I sold too soon." This looks a lot like one of those times when it might be most appropriate. Or maybe just tighten the stops (like to a downtick! -- ) Have a good weekend, everyone.

[diogenes227]

So what do you do if you "sold too soon" or you wanted to play a pullback and the market marches on? How do you get back into the parade?

That's always been a psychological killer for me, mainly because it often entails buying higher.

But there may be a simple solution courtesy of the McClellan Oscillator. If the NYSI is rising and you're out or underloaded and want to get back in, try buying the next low about a low on the NYMO (the NYMO circles and lines on the chart below). We had that signal four trading days ago and again on Friday so today's surge is not all that much of a surprise.

Also, note the VIX (in this case, the Russell Vix RVX) as the market moves sideways (the RVX boxes and lines on the chart below). The VIX often gives the clue to the resolution of a consolidation. In this case, as the TNA below moved sideways for the past three days, the RVX continued down. Again, today's surge might have been anticipated.

Good trading and good stops to everyone.

http://stockcharts.c...1656&r=4514.png

[diogenes227]

Astonishing! What can I say that I haven't said before? TNA is up 40 percent since the aggressive low-above-a-low buy signal on the NYMO on Feb 9th, and up 29 percent since the NYSI buy signal on Feb 12th! And see that post above this about how to get back into the parade? TNA is up 19 percent since last Friday! And everywhere you look stocks are running up like mad. What a bull! Here's to good trading, tight stops (this could end soon) and a great weekend for everyone!

[CLK]

Diogenes, Last I remember, you took profit on a 4% gain off the lows and never got back in, am I wrong ?

[diogenes227]

Diogenes,

Last I remember, you took profit on a 4% gain off the lows and
never got back in, am I wrong ?

I am long. The NYSI is on a buy signal from Feb 12 with no sign of turning around (that is it to say, the NYMO continues to put in highs above highs and lows above lows).

Are you short? I hope you are not short. This is a Pamplona stampede that is leaving every bear on the street dead.

[diogenes227]

NYMO up. VIX down. NYSI still on buy signal. Rally should follow through from today, resuming, and continue for a while longer (new highs, it appears, on the Russell in the process). If it doesn't follow through, things could get dicey in that we'd likely have another little high below a high on the NYMO on a rather ominous slope toward the zero line.

[diogenes227]

It appears there is a NYSI sell (down 7 points in Trade Station). It was trying to come back to positive into the close but appears to have failed. Gone completely to cash. Will tally results later and they are spectacular (my favorite, TNA, for instance, is up 33 percent and change on the NYSI Feb 12th buy). Have a good weekend everyone.