|Market Monitor |
|Daily||# of Stocks Up >4% on high volume||313||A minor weakness yesterday is immediately bought|
|Daily||# of stocks down >4% on high volume||82|
|Primary||# of stocks up >25% in a quarter||3294|
|Primary||# of stocks down >25% in a quarter||229||200 is the number to watch on this.|
|Secondary||#of stocks up >50% in a month||29||But this does not as yet indicate extreme bullishness.|
|Secondary||#of stocks down >50% in a month||2|
|Secondary||#of stocks up >25% in a month||207||This is where we play, trying to catch as many |
20% move as possible.
|Secondary||#of stocks down >25% in a month||34|
|Primary fast||MM 34/13 +||2822|
|Primary Fast||MM 34/13 -||644|
- The market continues to offer good trading opportunities.
- A minor weakness on Monday was immediately bought.
- At this level the Market Monitor primary indicator readings are reaching the pullback/dip zone.
- In this market time and again when MM reached those levels there has been a minor dip and after which the rally has resumed.
- What we are witnessing is a very good sector relay race. Which by the way is very distinctive characteristics of bull market.
- Sectors breakout, make a first leg of the move and then consolidate, while this is happening another set of sectors breakout.
- After some time the first set of sector (which broke out few months ago) has second set of breakout moves.
- Sector based theme can persist for a long long time. Many times for years.
- You will see during a long duration bull move, same set of sectors keep reappearing in top 20 sector list.
- That is why the sector tracking method which I detailed in my IBD Daily Summary post is so useful.
- In addition to tracking the top 60 stocks from the top 20 current sectors , you can also track the top 20 stocks from top 20 ranked sector 3 and 6 month ago.
- If you focus on the top sectors like a hawk, you would never miss a big move.
- The number one sector currently is China. You cannot go wrong buying a breakout or pullback on Chinese stock currently.
- That is why I put together that China stock list and all that you have to do currently to find a 20% profit trade is to buy b/o from that list.
- 20% profit trades in this market so far are not at all a problem. Till this party continues your objective should be to catch as many of them as possible.
- A stock which is not moving immediately after a b/o currently is not worth holding for long unless it is a 50% plus profit potential kind of long term trade.
- The key really is to be organised to profit from such explosive moves. You need to be set up well in terms of scans, software, databases, news sources etc.
- You also need to do all your thinking about the methods and then it should become a reflex action continued.....