..........WMT Filled It's Downside Gap At 49.47
WMT filled it's downside gap at 49.47 as expected today, see http://stockcharts.com/charts/gallery.html?wmt, and, should soon enter a short term Wave 5 upcycle, however, this is obviously a bearish market (and WMT had a huge spike move in Wave 3 that may need more time to correct), so, one can't rule out the possibility that WMT may fill it's downside gap at 47.60 before starting Wave 5. It seems unlikely right now though.
There's a new biotech rocket with probably enough average volume to be reasonably liquid, GNBT, that entered an important intermediate term and monthly upcycle at 1.26 yesterday,
see http://finance.yahoo.com/q/ta?s=gnbt&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c==. GNBT is up "big" on very strong volume today, see http://stockcharts.com/charts/gallery.html?gnbt. It did a brief huge Elliott Wave 12345 up down up down up upcycle, and, once it does a very short term/intraday Elliott Wave ABC down up down downcycle I'll probably jump in. GNBT is in an intraday Wave A right now. GNBT entered a Cyclical Bull Market at 0.51 in March 2005.
Another new rocket with probably enough average volume to be reasonably liquid, RVNG.OB, is doing a short term Wave 4 down (monthly cycle low at 0.61), see http://stockcharts.com/charts/gallery.html?rvng.
DNDN's short term Wave 4 cycle low at 7.55 held today as it should, with a session cycle low at 7.65, see http://stockcharts.com/charts/gallery.html?dndn. Once DNDN shows enough strength, a clear Wave 1 of a short term Wave 5, I'll look to buy in a significant Wave 2 pullback.
It looks like AVNR may have put in a monthly cycle low at 3.20 yesterday and today (http://stockcharts.com/charts/gallery.html?avnr), but, wait for a clear strong Wave 1 of a short term Wave 1 before looking to buy in Wave 2 down.
QTWW didn't fill it's downside gap at 1.46, but, it probably will before entering a short term Wave 5, see http://stockcharts.com/charts/gallery.html?qtww.
FCEL is approaching a monthly cycle low, note the Elliott Wave ABC down up down pattern the past 5 sessions, see http://stockcharts.com/charts/gallery.html?fcel. Wait for it to clearly break it's declining peaks downtrend of the past 5 sessions, the monthly downcycle trendline, before looking to go long, if that's your intention.
AGEN is in Wave 5 of a short term Wave 5, and is stuck in a short term triangle right now, see http://stockcharts.com/charts/gallery.html?agen.
I'm looking to short GDX today, the gold miners ETF, see http://stockcharts.com/charts/gallery.html?gdx.
The due diligence that I do (as a minimum) on trading stocks is to look at insider trading activity, the balance sheet, mutual fund/institutional ownership, scan the news/maybe read some, check I Watch, make sure that they're probably in a Cyclical Bull Market (should have completed a 9-18+ month Cyclical Bear Market in the past year or two), etc.
There are times when one should wait for strength after hitting a price target (hit a buy signal), such as if there's a well established downtrend line one should wait for it to clearly be broken (might wait for a Wave 1 short term upcycle and buy late in a Wave 2 down or early in a Wave 3 up, in the flat early part of the cycle), and, there are times to consider trying to catch the bottom (when I Watch and the WMT Lead Indicator are clearly bullish and/or a stock bounces at a well established uptrend line, then look to buy a pullback).
If one decides to trade rockets obviously paper trade for a while or trade very modest positions at first.
I'll be using cycle trendlines/channels, Elliott Wave patterns, gaps, the WMT Lead Indicator, I Watch, etc. to time the rockets. If it works the way I think it will it should be a lot of fun. We'll see.
As a long term multi-year investor in any stock, commodity, etc. you want to buy near the primary multi-year Secular Bull Market/very long term upcycle trendline. Gold's primary multi-year Secular Bull Market/very long term upcycle trendline is at $470ish right now, so, gold would be a great buy in the $470-500 range. When the vast majority of gold writers say it's a great time to buy or are bullish, as they almost always are, it's rarely a good time for long term investors to buy.
HUI/XAU's Wave 2 Cyclical Bear Market began 5-11-06, see charts 7 and 9 at http://www.joefrocks.com/GoldStockCharts.html. The primary Secular Bull Market trendlines since late 2000 are at 200-220 for HUI and at 85-90 for the XAU. Those are the targets for where the Cyclical Bear Market will bottom. NEM's Wave 2 Cyclical Bear Market began on 1-31-06. ....... http://www.JoeFRocks.com/ .
HUI NEM XAU
There's a new biotech rocket with probably enough average volume to be reasonably liquid, GNBT, that entered an important intermediate term and monthly upcycle at 1.26 yesterday,
see http://finance.yahoo.com/q/ta?s=gnbt&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c==. GNBT is up "big" on very strong volume today, see http://stockcharts.com/charts/gallery.html?gnbt. It did a brief huge Elliott Wave 12345 up down up down up upcycle, and, once it does a very short term/intraday Elliott Wave ABC down up down downcycle I'll probably jump in. GNBT is in an intraday Wave A right now. GNBT entered a Cyclical Bull Market at 0.51 in March 2005.
Another new rocket with probably enough average volume to be reasonably liquid, RVNG.OB, is doing a short term Wave 4 down (monthly cycle low at 0.61), see http://stockcharts.com/charts/gallery.html?rvng.
DNDN's short term Wave 4 cycle low at 7.55 held today as it should, with a session cycle low at 7.65, see http://stockcharts.com/charts/gallery.html?dndn. Once DNDN shows enough strength, a clear Wave 1 of a short term Wave 5, I'll look to buy in a significant Wave 2 pullback.
It looks like AVNR may have put in a monthly cycle low at 3.20 yesterday and today (http://stockcharts.com/charts/gallery.html?avnr), but, wait for a clear strong Wave 1 of a short term Wave 1 before looking to buy in Wave 2 down.
QTWW didn't fill it's downside gap at 1.46, but, it probably will before entering a short term Wave 5, see http://stockcharts.com/charts/gallery.html?qtww.
FCEL is approaching a monthly cycle low, note the Elliott Wave ABC down up down pattern the past 5 sessions, see http://stockcharts.com/charts/gallery.html?fcel. Wait for it to clearly break it's declining peaks downtrend of the past 5 sessions, the monthly downcycle trendline, before looking to go long, if that's your intention.
AGEN is in Wave 5 of a short term Wave 5, and is stuck in a short term triangle right now, see http://stockcharts.com/charts/gallery.html?agen.
I'm looking to short GDX today, the gold miners ETF, see http://stockcharts.com/charts/gallery.html?gdx.
The due diligence that I do (as a minimum) on trading stocks is to look at insider trading activity, the balance sheet, mutual fund/institutional ownership, scan the news/maybe read some, check I Watch, make sure that they're probably in a Cyclical Bull Market (should have completed a 9-18+ month Cyclical Bear Market in the past year or two), etc.
There are times when one should wait for strength after hitting a price target (hit a buy signal), such as if there's a well established downtrend line one should wait for it to clearly be broken (might wait for a Wave 1 short term upcycle and buy late in a Wave 2 down or early in a Wave 3 up, in the flat early part of the cycle), and, there are times to consider trying to catch the bottom (when I Watch and the WMT Lead Indicator are clearly bullish and/or a stock bounces at a well established uptrend line, then look to buy a pullback).
If one decides to trade rockets obviously paper trade for a while or trade very modest positions at first.
I'll be using cycle trendlines/channels, Elliott Wave patterns, gaps, the WMT Lead Indicator, I Watch, etc. to time the rockets. If it works the way I think it will it should be a lot of fun. We'll see.
As a long term multi-year investor in any stock, commodity, etc. you want to buy near the primary multi-year Secular Bull Market/very long term upcycle trendline. Gold's primary multi-year Secular Bull Market/very long term upcycle trendline is at $470ish right now, so, gold would be a great buy in the $470-500 range. When the vast majority of gold writers say it's a great time to buy or are bullish, as they almost always are, it's rarely a good time for long term investors to buy.
HUI/XAU's Wave 2 Cyclical Bear Market began 5-11-06, see charts 7 and 9 at http://www.joefrocks.com/GoldStockCharts.html. The primary Secular Bull Market trendlines since late 2000 are at 200-220 for HUI and at 85-90 for the XAU. Those are the targets for where the Cyclical Bear Market will bottom. NEM's Wave 2 Cyclical Bear Market began on 1-31-06. ....... http://www.JoeFRocks.com/ .
HUI NEM XAU
Labels: Gold, Gold Stocks, HUI, NEM, Silver, Silver Stocks, SPX, XAU
posted by Joe Ferrazzano at
8:33 AM
