Steckler's Star Studded Stock Picks

[spikefader]

Thanks for that explanation. Googled for a bit to find some charted examples and couldn't find any. Any that you can share?

Is this theory one developed by you? If not, who's is it? Any links for references?

Also, maybe you made a typo, but you said the target was 32.48.

[DSteckler]

I'll look for some and post when I find one.

<< Is this theory one developed by you? If not, who's is it? Any links for references? >>

No, not developed by me. This is basic chart pattern theory, Spike. The NY Institute of Finance teaches this stuff as well as many graduate programs in B-School.

<< Also, maybe you made a typo, but you said the target was 32.48. >>

Thanks for catching that. The distance between neckline and head (3.7 gets added to the pivot (32.43, not 28.70) for a target objective of 36.21.

[Gatorman]

I'll look for some and post when I find one.

<< Is this theory one developed by you? If not, who's is it? Any links for references? >>

No, not developed by me. This is basic chart pattern theory, Spike. The NY Institute of Finance teaches this stuff as well as many graduate programs in B-School.

<< Also, maybe you made a typo, but you said the target was 32.48. >>

Thanks for catching that. The distance between neckline and head (3.7 gets added to the pivot (32.43, not 28.70) for a target objective of 36.21.

Interesting. I have never seen a neckline drawn in this manner. It more closely resembles a waistline than a neckline but will follow the stock to see if it reacts as we would expect.
Always glad to see things I have not seen before.
Thanks

[DSteckler]

<< It more closely resembles a waistline than a neckline >>

If you applied that to my waistline it would like like a sine curve....<VBG>

[spikefader]

I'll look for some and post when I find one.

Thanks dude, cuz I'm a sponge for unique and rare little "patterns "like that one! Like Gatorman, I am glad to see things I have not seen before.

..This is basic chart pattern theory, Spike

Basic?! lol I think you chose the wrong word there dude. If a CH&S were so "basic" I should be able to find plenty of references and charting examples on the net....
This on the other hand is basic Head n Shoulders stuff: http://www.trending123.com/patterns/..._shoulders.htm

Thanks for catching that....target objective of 36.21.

YW
Hokay, now mea heada cappish! as my Italian accented friends say.

[New-born baby]

Gm

Dave, Spike, et al:
Let's talk GM's current pattern. Almost looks like an inverted H&S--but the neck around the head does not connect. Would you call this an IH&S?

Click here:

http://img32.imageshack.us/img32/4503/chart16zt.gif

[spikefader]

I switched search engines and used www.askjeeves.com and found a few picture references to "Continuation Head and Shoulders" in the UK. But they appear to have the traditional neckline placement too....

http://www.eyield.co.uk/myarea/introduction/price_patterns/head_and_shoulders3.htm

[spikefader]

Dave, Spike, et al:
Let's talk GM's current pattern. Almost looks like an inverted H&S--but the neck around the head does not connect. Would you call this an IH&S?

Click here:
http://img32.imageshack.us/img32/4503/chart16zt.gif

Hey, speaking of patterns, check this site out NB, it's pretty cool summary of most common patterns:

http://mysite.verizon.net/resppzq7/chartpatterns.html

[DSteckler]

The left shoulder is 23.41 on 12/7, rather than 24.95 on 11/21. You look for the high that followed the dip before the drop to the inverted head. The chart below explains cuz a picture is worth a thousand words....<g>:

http://www.ttrader.com/mycharts/display.php?p=38377&u=dave&a=MyCharts&id=690

There are technicians who will hold that the December dip is too shallow so in that case, Spike, your using the 24.95 mark as the left shoulder would be correct.

[New-born baby]

Hey, speaking of patterns, check this site out NB, it's pretty cool summary of most common patterns:
http://mysite.verizon.net/resppzq7/chartpatterns.html

Added that to my Favorites list immediately. Thank you! BTW, Bulkowski wrote in SFO that he's a lifetime 49% trader.

GM: my original plan was buy GM under $20 and sell the $20 JAN calls on 2/3 of my shares. (I did). The 1/3 that I kep I was going to hold through earningings (1/26/06), the 50 cent divy (2/8/06), and perhaps hold as long as a year or more in anticipation of Long Term Capital Gains (LTCGs). When the calls expired with value, and yet they were not called away, I got nervous and sold my entire lot yesterday morning when GM hit my stop.
Then last night I am checking the chart, and GM has a chance now for a nice upmove . . . DOH!

[New-born baby]

Thanks!

The left shoulder is 23.41 on 12/7, rather than 24.95 on 11/21. You look for the high that followed the dip before the drop to the inverted head. The chart below explains cuz a picture is worth a thousand words....<g>:

http://www.ttrader.com/mycharts/display.php?p=38377&u=dave&a=MyCharts&id=690

There are technicians who will hold that the December dip is too shallow so in that case, Spike, your using the 24.95 mark as the left shoulder would be correct.

Dave,
Thank you!
Yes, a picture is worth a thousand words. Thanks for the chart. Now what is your forecast for GM here? What measurement would you say a break of the neckline targets?

[DSteckler]

<< What measurement would you say a break of the neckline targets? >>

Any H&S pattern uses the same formula for calculating the target: the distance between the head and neckline added to the pivot price. WIth GM, that distance is about 4.75. Add that to the pivot breakout of 22.35 (waiting for a close above this is the safer bet) for a target objective of 27.10.

[New-born baby]

My yardstick was broken.

<< What measurement would you say a break of the neckline targets? >>

Any H&S pattern uses the same formula for calculating the target: the distance between the head and neckline added to the pivot price. WIth GM, that distance is about 4.75. Add that to the pivot breakout of 22.35 (waiting for a close above this is the safer bet) for a target objective of 27.10.

ThankS! My yardstick was broken

[DSteckler]

WTI update

Nice 6% move this morning on news. Still waiting for the target objective around 36.20.

[DSteckler]

Choo choo!

BNI breakout on earnings release.