Tuesday, November 30, 2004

Some stocks leading the market higher

Here is a far from complete list of tradable stocks that have been leading the market higher. Liquidity is a big deal with a list like this, so average daily volume in the millions and small bid-ask spreads are important. I have fairly new positions in the first four stocks listed.

TZOO (bought this morning at $86.91)
GOOG (bought at $176.54)
AAPL (bought at $65.28)
SYNA (bought at $34.25)

A couple of smaller stocks worth watching:


I see AAPL and AMD as playing the role that RIMM played in '03's bull. These 9 stocks are the only stocks I am paying much attention to right now because it is so easy to make all the money you could hope to make by piggy-backing on the institutions gobbling them up for fear of missing the bull.

Tuesday, November 23, 2004

New way to identify the most tradable stocks

A friend told me to get on Scottrade and look at the memo found at "Customer Service" => "Important Messages" => "Stocks subject to a higher maintenance requirement". I smiled when I saw that 3 out of the 5 stocks that I was paying very close attention to where on the list (TASR, TZOO, and GOOG). The other stock on the list was one that I hadn't payed enough attention to until that day: GOAM. For whatever reason, Scottrade feels that they need to protect the money they loan out to people for the most speculative stocks, but this is exactly the sort of thing I'm looking for so this list is great! It is like a stock screener for the most actively traded market leaders (value investors are cringing by now!). So I've been watching GOAM for a few days and took a buying opportunity this morning off of an intra-day penant at $10.90. I've got a stop just below the bottom of the penant at $10.57 (stopping out here would be about 3% loss for me). I'll be trailing my stop just under the 8-day moving average, just like I did with TASR until I stopped out at $55.40 (bought in late October at $41.50).

Wednesday, November 17, 2004

I'm still up to the gills with the TASR that I bought after they released their earnings before the election at $41.50 per share. I put this picture up here to illustrate when I plan to sell it. TASR is shown with the 8-day moving average in blue. You can see that in almost every case where TASR was in a strong uptrend, it never broke the 8-day moving average. So I'm selling all my shares when the price falls under 1% below the 8-day moving average as of the previous day's close. This selling technique seems to work well on other strong uptrending stocks such as TZOO. I'm off to play some Half-Life 2 until the IBD meet-up tonite!

Sunday, November 07, 2004

Analysis of NVDA weekly chart, Stan Weinstein style. I bought some at the open on Friday's gap up.

Thursday, November 04, 2004

Back to business as usual

I just bought some AIRT off of an intra-day bull flag. It was up 5% when I bought but what sealed the deal for me was the naz coming within spitting distance of moving into the green.

UPDATE: I closed the trade right after making it because the bull-flag failed.

Wednesday, November 03, 2004

Election is over and...

The election is over and it looks like the market is trending higher. I'd really like to see the naz clear above its high at the end of June around 2,050 before the Fed started raising interest rates. This would confirm the trend of higher highs and higher lows which is vital if you plan to hold any stocks and make money. My decision to sit tight caused me to miss TZOO's latest run into new high ground, but there is always another train leaving the station so I'm not worried about missing it. Sitting still for a couple of weeks has been a great excercise in discipline and not over-trading for me. I am encouraged by AIRT, TZOO, GOOG (GOOG cleared $200 intra-day today!) and the many other stocks showing strong performances lately even though I have not made any money from them. This tells me that the environment for stocks is getting better.

I'm long only TASR right now but I've got my eye on a few tech stocks that I expect to do well if the market is going to trend higher. AMXC has consolidated nicely and looks like it is going to get a boost from running into its 50-day moving average soon. Also NVDA and AMD could be good core long positions in the near future if the market is strong, based on their current technicals. NVDA is taking back market share from ATI with its 6800 line of graphics cards. My friends and I all have AMD processors and NVDA 6800 cards to run the newest computer games.

A stock that might make a good flip in the near future is IPIX, which has been consolidating with a low RSI line for months. MACE has been popping up like crazy, which is sort of a heads up to keep my eye on the defense sector. The Bush victory only bodes well for these stocks.