Steckler's Star Studded Stock Picks

[DSteckler]

Netl

Following through on yesterday's breakout. The weekly chart is starting to look extended, though.

[DSteckler]

Housing index

Worth keeping an eye on the housing stocks, IMO. The housing index ($HGX) has formed a triple top (starting in early October) and a rising right triangle.

[DSteckler]

Nvr

Breaking out of a tight congestion zone. Very low ADX (11.35) suggests that the move will be significant. DMI crossover went bullish today and the Volume Flow Indicator turned bullish (upside cross through the 0 line) yesterday. Resistance is the 200DMA, about 782.

[DSteckler]

Possible short

RTP, which has formed an island top reversal. Could find support at the 20-day EMA, around 180.

[New-born baby]

Penny Stocks

Breaking out of a tight congestion zone. Very low ADX (11.35) suggests that the move will be significant. DMI crossover went bullish today and the Volume Flow Indicator turned bullish (upside cross through the 0 line) yesterday. Resistance is the 200DMA, about 782.

Nice call on a cheap stock. I noticed that NVR busted out of a symmetrical triangle formation, and the price target is roughly $820.

[DSteckler]

Other homebuilders

BZH broke out of a shallow continuation H&S pattern and has a target objective of around 81 (distance between the neckline and head added to the breakout price).

RYL is close to breaking out through a double top/rectangular base. If successful, the measured move is the height of the rectangle (6.65) added to the resistance line (around 77.25) for a target objective of 83.90.

[ParkTwain]

Breaking out of a tight congestion zone. Very low ADX (11.35) suggests that the move will be significant. DMI crossover went bullish today and the Volume Flow Indicator turned bullish (upside cross through the 0 line) yesterday. Resistance is the 200DMA, about 782.

IMHO
buy NVR above 750 for a hold to as high as 900, where the next highest actual resistance is found.

http://stockcharts.com/def/servlet/SC.web?c=nvr,uu[h,a]daolyyay[dc][pb50!b200][vc60][iUb14!Ll14]&pref=G
(paste this entire URL into your browser's URL field)


Turnaround in the homebuilders is based on the market's anticipation of an end to Fed rate hikes by March 2006, with potential for rate drops later in 2006.

[DSteckler]

Gigm

Breakout yesterday and followthrough today. Volume today is almost 2X ADV. Note how the 20-day EMA has been solid support every time it was touched, since early November.

[DSteckler]

Gnt

GNT is definitely worth keeping an eye on. A biopharm with $24 million in cash, they are working on a drug to treat VOD (veno-occlusive disease). This disease causes blood vessels to swell, which can lead to multiple-organ failure. It received orphan drug status from the FDA and has been approved and is used in Italy.

The tests that have been done so far have been so successful that the company received two grants from the FDA to speed testing and approval of the drug. The potential sales for this drug (and others) is very large for a company this size.

The stock has a thin float (8 million shares) and an average daily volume of only 8,400 shares. A physician friend who researches biopharms very carefully thinks GNT would be cheap at twice the current price, but take that with a grain of salt.

Chart-wise, the overall trend has been lower since the IPO last summer. The past few months it's been bouncing back and forth through its 20-day EMA while trending lower.

[DSteckler]

Atml

Schweet move!

[DSteckler]

Mesa

Breakout from a three-day consolidation around the 50DMA. I'm looking for a test of the November high.

[sisterwin2]

I told myself about six months ago, "self, to learn you will look up evey stock mentioned on this site", whewwwww been looking up alot.

Welcome to the club DSteckler, I am new to the trading world and see that your going to fill my evenings. Who needed a life anyway.

Enjoying your post,

[DSteckler]

Dena, looking up every stock mentioned by everyone has its usefulness but it can also leave you dazed and confused.

Every trader/investor has a different style. What works for me will not necessarily work for you, and vice versa. To narrow your focus begin by asking yourself the following questions:

1. Am I investing money I can afford to lose or is this my nest egg?

2. What is my tolerance for risk - if I sold a single investment for a 10% loss, would I have trouble sleeping? What about a 20% loss? A 30% loss?

3. How many positions do I want to hold at any one time?

4. How long do I typically hold (or want to hold) a position - a few days, a few weeks, or a few months?

5. Do I want to sit on front of a quote screen all day long and sweat out every tick in the stocks I own, or do I want a life outside the market?

6. Do I want to actively manage my investments or do I prefer more of a "fly on autopilot" approach?

Once you've answered these questions you'll have a better idea of your investment goals and objectives (IG&O). You'll then be able to spend more time analyzing the selections made by posters who have an IG&O similar to yours.

For example, assume you decide that you're comfortable with an intermediate-term hold time. If that were the case it wouldn't be an efficient use of your time to research my Cooper 1-2-3-4 pullback stocks, since they're typically held for just a few days.

Narrowing your focus will leave you time to more deeply research stocks that you may choose to buy and still have time for a life outside the market.

[IIC]

That's very good advice.

Dena...and whoever...I'd just like to say that managing your investments is a job. In my case I consider it a fun job...But never the less it takes a lot of work.

I met some people at the the Trader's Expo, in fact quite a few of them, who were looking for the "Holy Grail"...That "magical" system that will automatically let them earn 100% a year. I actually felt sorry for them...Even my wife who hung out with me part of the time mentioned that.

In my case, even though I work over 40 hrs a week at my regular job...I spend about 30 hrs a week (and sometimes more) looking at charts, reading, studying etc.

Now, I realize that most people with a Real Life are not going to spend that much time unless they work in the Investment field...And to do well it really doesn't take that many hours...I would suggest that you focus on your investment objectives and spend an average of about at least 7-10hrs a week.

I for one have numerous styles that I use...Day Trading, Swing Trading and intermediate/longer term trading...As you may have read...I am now learning the e-mini game. To start I think you should choose only one and learn it well...Probably Intermediate/Long Term.

I don't think it is really practical to check out every stock on this or any other board. Get a feel for what styles others use and concentrate on following their pix or lists if they post the types you are looking for.

I've been investing seriously since '83 and much longer than that on an occasional basis. And 'ya know what, when I got onto the boards back in '97 I started finding people that seemed to be right so often...And then in 2001 I starting running into some real sharp people. I remember a few times that I bot some stocks just because these "sharp" people mentioned that they bot 'em...Well, guess what?...I lost money on every single one of them...When I posted about them I heard things like..."Oh...I sold that last week". The whole point is that make sure you do your own DD before buying a stock that someone who seems sharp (Or actually may be sharp) posts.

Also, be in no rush...I'd much rather miss a gainer than end up with a loser.

And finally, as Dave says...Know your risk tolerance. There is absolutely no good reason to lose any sleep over your inevitable losses...It isn't worth it.

Finally...and I'm repeating what Dave was talking about...Determine your objectives, develop your criteria and FOCUS. Do not be afraid to be flexible or adapt to market conditions...But make changes gradually...Analyze what you can do to improve...but take it slow...Don't abruptly make a change just because someone else does it that way...There's no rush...The market will always be there...Best, Doug(IIC)

[dmk112]

Worth keeping an eye on the housing stocks, IMO. The housing index ($HGX) has formed a triple top (starting in early October) and a rising right triangle.

Interesting, I heard the same thing during a radio show today. Good work!