10/31/2011

Extreme readings on breadth


In 19 days the market has witnessed heavy buying. As a result most stocks have gone up in last 19 days. The secondary indicators on Stockbee Market Monitor are at extreme level. Such extreme readings indicate probability of pullback/consolidation in next 4 to 5 days.

However individual stocks will continue to breakout and most likely we will see money rotating in to stocks near 52 week high.

DECK (Deckers Outdoor Corp) is an example of kind of breakout that are happening near high.







Are you serious about your trading?

If you are serious about your trading and want to build an enduring edge the Stockbee Member site might help you. Members tell me they have tried lot of things before coming to my site and it has offered them the most extensive and detailed methods to swing and position trade.

It is only for those who want to develop their own self sufficient trading method. It is not a stock picking service. It is service for you to build your own scans and trading method to have your own daily pick based on your method.

Be warned it will take you time to learn to trade. Learning to trade is difficult art and unless you are willing to spend months or years to perfect your strategy and also develop your mental edge you are unlikely to succeed in this game. Unless you understand that no site, no service, and no mentoring is going to work.

Why traders come to stockbee?

The member site is one of the most recommended site for learning to trade by other traders and bloggers. You will see no advertising, no hard marketing, no promotions, no free offers, no affiliate marketing, no incentive to other bloggers to promote the site, no constant twits self promoting the site, no free trial  and no tall claims of making you instantly wealthy, and yet the site attracts new  members everyday. Members come from all walks of life and all kinds of trading size and trading styles.

You will see that many trading bloggers have been using my market timing methods, scans , stock ranking lists and chart templates. They have developed their own methods based on my methods. Many paid newsletter site recommend my site to their subscriber for learning about trading and market.

Over the years thousands of traders have been members and those who benefited from the learning talk about the site to others or talk about the methods used and that is how new members learn about the site.





What will I learn in the members site?

The members site will give you in depth understanding to develop your own trading method. The emphasis is on making you self sufficient and confident of your own trading method and style.

As a member you will learn the basics of swing trading, momentum investing, growth investing and risk management.

You will learn about Stockbee Trend Intensity Breakouts method that uses momentum based swing trading to find 3 to 5 day swing trades for 8 to 40% profit.

You will learn about Stockbee Episodic Pivots Breakout method which uses Post Earnings Announcement Drift (PEAD) to find stocks that had a game changing earnings and that are likely to rally for 3 months to 12 months.

You will learn about  Stockbee Dollar Breakout method that uses momentum, range expansion and swing trading approach to find 5 to 40 dollar moves in high priced stocks.

You will learn about  Stockbee Lemonade Strategy for 401k which uses market timing and momentum to invest in 401k. You will get weekly update on how I am using the strategy on our 401k to do allocation decision.

You will learn about Stockbee Market Monitor method for market timing using breadth. It allows you to avoid risky periods in market and allows you to identify market turns. It is used for 401k allocation decisions.

You will learn about Stockbee Double Trouble method to find stock with confirmed upside momentum using anchored momentum and that are likely to continue their up move.

You will learn about Stockbee Night Time is Right Time method to find news catalyst based trade ideas for short term day trade and swing trade.

You will learn about Investor's Business Daily’s IBD 200 list and how it can be used to find swing trading candidates for explosive moves.

You will learn about Telechart 2000 and how to use it effectively to scan for swing and position trade ideas and to set up your 401k strategy.

You will learn about Jesse Livermore Range Breakout, Darvas Box setup, and many other member shared methods.

You will learn how to set up your own scans, select right kind of stocks, how to set up stops, when to enter , when to exit, how much to risk, how to track your trades and all other details about trading. You will learn about developing your own methods and not relying on others for trade ideas.

The site has hundreds of videos and trading methods and variation of methods. Members help each other in developing the methods and share actively their research and finding. A collaborative spirit allows you to get input from others on your trading ideas or problems.

The site gives you opportunity to interact with some of the most successful traders and learn from them about their trading methods. It is a vibrant community with members from different background and experience willing to help each other. The emphasis is on continuous learning and up gradation of market knowledge and setup knowledge. The members range from hedge fund employees, financial advisers, active swing traders, investors and new traders.

If you are looking to develop your own trading strategy the membership site might be for you. You have to be willing to put in the effort to build your own method. There are no silver bullets offered on members site. Every method, every scan, every nuance is detailed and all possible help is offered to design your own method.

Do you have a trial?

If you are just looking for trial you are better off trying thousands of other trading sites that offer free trial or one month trial and offer you promise of riches.

It is for those who are ready beyond the trial phase and ready to put serious months or years  of efforts to learn to trade on their own. It is for those who want to learn to find their own fish.

The free blog has all the details about the methods I trade and if you go through the posts highlighted in the sidebar you will learn about them.



How can I become a member?

To sign up go to www.stockbee.biz and follow the sign up process. The site uses Paypal for payment processing.

10/28/2011

18 day rally continues


This rally started after breadth went to extreme level 20 days ago. Extreme negative breadth often leads to explosive rally and this rally has proved to be like that. Breadth has steadily improved during the rally and there has been series of breadth thrusts.

The rally has been fueled by beaten down stocks. If you look at the top 30 stocks by price % change in last 18 days you will see most of those stocks started their rally from 52 week low.


VIT (Vanceinfo  Technologies Inc.) is typical of the kind of moves in this rally. Stock was in decline for months and then in last 18 days is up 213%.


Before that stock was in multi month decline ...


The bottom bounces have been really strong and as a result of these bottom rallies 522 stocks are up 25% plus in a month.

What next. Some of these rallies will fade. Some will go sideways or pullback and set themselves up for further upside. Watch the top 300 stocks that have gone up the most in last 18 days. They will offer further upside potential in coming weeks or days.

If the rally continues then at some stage stocks near 52 week high also need to start participating in it. So keep an eye on top 100 stocks by Trend Intensity. Bottom fueled rallies can only last for few weeks ultimately money will rotate in to high relative strength stocks. Some high relative strength stocks near 52 week high were breaking out yesterday and they might take on the leadership. 

10/26/2011

Trouble in tech land


The Nasddaq 100 stocks were the early leaders of this rally. But in recent days things don't look too good for them.

Look at AAPL, AMZN, GMCR, BRCM, DELL, AMGN, SIAL, EBAY, WYNN and so on....

Market might rotate in to something new.....

10/24/2011

Stocks up 25% plus in a month


The 14 day old rally continues. Many stocks are now starting to breakout near high. earnings are being currently rewarded with good b/o and follow through.

In just a span of 14 days 177 stocks are now up 25% plus in a month. 

Stocks up 25% plus in a month
AEL
AFL
AHT
AIRM
AREX
ARII
ARO
ASGN
ASIA
ATLS
ATX
AV
BANR
BAS
BC
BCS
BEXP
BGFV
BOOM
BWS
CETV
CHDX
CIE
CKSW
CLD
CMCO
CPX
CRH
CTB
CVBF
CVGI
CWEI
CYT
DAN
DDIC
DEL
DEST
DK
DNR
E
EIG
EP
ETH
EXXI
FELE
FIO
FMBI
FRM
FSCI
FULT
GBCI
GBX
GHL
GIFI
GM.WS.B
GNRC
GPOR
GT
HALO
HAR
HAYN
HEES
HGIC
HLX
HMA
HNI
HST
HSTM
HXL
IBOC
IMGN
ING
JCP
JKS
JOYG
JRCC
KBH
KELYA
KFRC
KFY
KNXA
KOS
LAD
LDL
LEN.B
LIZ
LPL
LPX
LRN
LZB
MAS
MDC
MDR
MHK
MMYT
MPC
MSB
MTRX
NBL
NILE
NNBR
NOK
NR
NSR
NTCT
NUAN
NX
NXST
OCZ
OIS
ONB
ORA
OSIS
OSUR
P
PAG
PCBK
PEBO
PGI
PHG
PKT
PLXS
PNFP
PPDI
PRSC
PTX
PXP
QCOR
QLTY
ROK
RRC
RRR
RTLA
RYL
SAVE
SCS
SCSS
SEM
SFD
SFLA
SFNC
SGNT
SHLD
SIMO
SIVB
SMBL
SRI
STBA
STT
STX
SWFT
SYNA
TEN
TEU
TEX
THO
TKLC
TKR
TOL
TOT
TQNT
TRAK
TSO
TZOO
UMPQ
URI
USAP
VLO
WBS
WLL
WNR
WTI
WTW
XPO
XRTX
XXIA
ZIGO


Many of these stocks are potential market leaders and will likely have further gains post a pullback/ correction. Unless we get sudden big breadth deterioration the rally has legs....

10/21/2011

Rally leaders

This rally is 13 days old and it is time to look at which stocks have gone up the most in last 13 days. In Telechart it is easy to create a PCF to find this.


Buying oversold stocks and picking bottoms has been the best strategy so far in this rally. Stocks near 52 weak high have not been the leaders. Stocks near 52 week low are leading the advance.

Five of the best performing stocks in last 13 days are CPX, JKS, LIZ, IO, ASIA. They are up between 84% to 62% in last 13 days. 








10/20/2011

Fading leadership is the overarching theme


Situational awareness (SA)

SA is a aviation term. All pilots are extensively trained in SA on ongoing basis. SA helps pilot to be in control of their situation all the time. 
For a pilot, situation awareness means having a mental picture of the location, flight conditions and intentions your aircraft within an area in relation to each other and to other factors that could be about to affect its safety such as proximate terrain, obstructions, airspace reservations and weather systems.
Same way good trading requires SA. We should factor in the environment we are in and continuously try and study the situation. Markets are dynamic and situation changes everyday.
Fading leadership is the overarching theme currently.
The stocks that lead the advance are breaking down or pulling back hard. That should make you cautious on bullish side.
The action in many leaders of rally does not look like garden variety pullback but breakdowns.
Implication is rally might have run out of gas. Unless we see new leadership I will be cautious on bullish side. There are some good short setups showing up currently. 

10/19/2011

11 day rally continues


Situational awareness

Situational awareness is:
The perception of the elements in the environment within a volume of time and space,
The comprehension of their meaning and
The projection of their status in the near future.
It is a widely used aviation term. Pilots are trained in SA to avoid accidents.
Same way on day to day basis you need SA to be in tune with market moves. You should understand the context of any move.
Currently we have had a roaring 11 day bounce after MM reached extreme readings. Often such rallies herald start of new bull moves lasting months.


As of now however rally has some unique characters that make it not a typical bull market rally. Most stocks are bouncing from bottom. There are very few classic leadership kind stocks and setup. Which has many people believing it is a bear market rally.
On immediate basis we are extremely overbought and most stocks have V shaped bounces or rallies. A 2 to 3 weeks sideways moves or pullback on these stocks will create actionable swing setups.
One of the reason for worry is low number of EP showing up currently. It is too low a number for typical start of bull move.
The number of stocks up 25% in a month is pretty low at this stage compared to typical bottoms.
Implication you have to be cautiously bullish and play for smaller moves and keep losses small.

10/18/2011

Market breadth pattern analysis

One of the Stockbee member has developed a comprehensive method for analyzing market breadth using a concept similar to Stockbee Market Monitor.

Read his guide here.

Rally hits turbulence


After nine days of big rally from bottom, some sort of correction is natural . As long as the pullback remains shallow, there might still be more upside for the rally attempt.

It seems a bit too obvious bearish setup. Everyone is skeptical of the rally. Investors Intelligence survey bearish readings are at record high. Everyone is itching to short. Obvious things often don't work in the market. We will see how the move progresses.

I would still be buyer of good bullish setups and put out few shorts if good setup shows up. Currently long STAA, LNKD, AAPL.


10/14/2011

10/13/2011

A pause may not kill the rally attempt


Market is up in 6 of the last 7 days. After such big advance a pause or pullback will not be out of character. If the correction happens on low breadth it will not matter. If we get big breadth to downside then it will be cause for concern. We used the gap up open and strength yesterday to sell and book profit on many open positions.

If you forget about the indexes and look at individual setups, you would find lot of good breakouts. Momentum stocks are showing good breakouts currently. In periods like these using short term momentum calculation periods is better as it can capture new trends faster. A faster Stockbee Trend Intensity of 20 days is preferable to standard 65 days Trend Intensity.

 Another way you can look for momentum is by using anchored low. For example currently this rally is 7 trading days old. If you use that period to calculate momentum using the lowest price of the stock in last seven days, you can find stocks with above average momentum in last 7 days. Both the above approaches can be done very easily in Telechart using simple PCF.

Two of the better looking setups in breakout yesterday were LNKD and STAA.

LNKD

STAA

both the stocks breakouts I highlighted yesterday during the day on Stocktwits stream.  As long as good buy setups like these continue to show in momentum scans I am a buyer. If market bounce fails then will look for short setups.

Long: LNKD, STAA and couple of other positions.




Are you serious about your trading?

If you are serious about your trading and want to build an enduring edge the Stockbee Member site might help you. Members tell me they have tried lot of things before coming to my site and it has offered them the most extensive and detailed methods to swing and position trade.

It is only for those who want to develop their own self sufficient trading method. It is not a stock picking service. It is service for you to build your own scans and trading method to have your own daily pick based on your method.

Be warned it will take you time to learn to trade. Learning to trade is difficult art and unless you are willing to spend months or years to perfect your strategy and also develop your mental edge you are unlikely to succeed in this game. Unless you understand that no site, no service, and no mentoring is going to work.

Why traders come to stockbee?

The member site is one of the most recommended site for learning to trade by other traders and bloggers. You will see no advertising, no hard marketing, no promotions, no free offers, no affiliate marketing, no incentive to other bloggers to promote the site, no constant twits self promoting the site, no free trial  and no tall claims of making you instantly wealthy, and yet the site attracts new  members everyday. Members come from all walks of life and all kinds of trading size and trading styles.

You will see that many trading bloggers have been using my market timing methods, scans , stock ranking lists and chart templates. They have developed their own methods based on my methods. Many paid newsletter site recommend my site to their subscriber for learning about trading and market.

Over the years thousands of traders have been members and those who benefited from the learning talk about the site to others or talk about the methods used and that is how new members learn about the site.





What will I learn in the members site?

The members site will give you in depth understanding to develop your own trading method. The emphasis is on making you self sufficient and confident of your own trading method and style.

As a member you will learn the basics of swing trading, momentum investing, growth investing and risk management.

You will learn about Stockbee Trend Intensity Breakouts method that uses momentum based swing trading to find 3 to 5 day swing trades for 8 to 40% profit.

You will learn about Stockbee Episodic Pivots Breakout method which uses Post Earnings Announcement Drift (PEAD) to find stocks that had a game changing earnings and that are likely to rally for 3 months to 12 months.

You will learn about  Stockbee Dollar Breakout method that uses momentum, range expansion and swing trading approach to find 5 to 40 dollar moves in high priced stocks.

You will learn about  Stockbee Lemonade Strategy for 401k which uses market timing and momentum to invest in 401k. You will get weekly update on how I am using the strategy on our 401k to do allocation decision.

You will learn about Stockbee Market Monitor method for market timing using breadth. It allows you to avoid risky periods in market and allows you to identify market turns. It is used for 401k allocation decisions.

You will learn about Stockbee Double Trouble method to find stock with confirmed upside momentum using anchored momentum and that are likely to continue their up move.

You will learn about Stockbee Night Time is Right Time method to find news catalyst based trade ideas for short term day trade and swing trade.

You will learn about Investor's Business Daily’s IBD 200 list and how it can be used to find swing trading candidates for explosive moves.

You will learn about Telechart 2000 and how to use it effectively to scan for swing and position trade ideas and to set up your 401k strategy.

You will learn about Jesse Livermore Range Breakout, Darvas Box setup, and many other member shared methods.

You will learn how to set up your own scans, select right kind of stocks, how to set up stops, when to enter , when to exit, how much to risk, how to track your trades and all other details about trading. You will learn about developing your own methods and not relying on others for trade ideas.

The site has hundreds of videos and trading methods and variation of methods. Members help each other in developing the methods and share actively their research and finding. A collaborative spirit allows you to get input from others on your trading ideas or problems.

The site gives you opportunity to interact with some of the most successful traders and learn from them about their trading methods. It is a vibrant community with members from different background and experience willing to help each other. The emphasis is on continuous learning and up gradation of market knowledge and setup knowledge. The members range from hedge fund employees, financial advisers, active swing traders, investors and new traders.

If you are looking to develop your own trading strategy the membership site might be for you. You have to be willing to put in the effort to build your own method. There are no silver bullets offered on members site. Every method, every scan, every nuance is detailed and all possible help is offered to design your own method.

Do you have a trial?

If you are just looking for trial you are better off trying thousands of other trading sites that offer free trial or one month trial and offer you promise of riches.

It is for those who are ready beyond the trial phase and ready to put serious months or years  of efforts to learn to trade on their own. It is for those who want to learn to find their own fish.

The free blog has all the details about the methods I trade and if you go through the posts highlighted in the sidebar you will learn about them.



How can I become a member?

To sign up go to www.stockbee.biz and follow the sign up process. The site uses Paypal for payment processing.