I have 22 consecutive profitable trades of 15% or better. How is this possible? Every day there are hundreds of stocks setting new highs, no matter what happens in the overall market. Many of these stocks are still at very reasonable valuations. Afraid of buying stocks at their highs? Think of it this way: a new high is really a future floor for companies with solid financial underpinnings. Quantitative momentum modeling makes it easy to identify stocks that can continue this upward momentum trend. Why does this happen? It's really very simple..ask me about what investors and cows have in common. I am $$$ MR. MARKET $$$. I AM HUGE!!! Bring me your finest meats and cheeses. You can join in on the fun. Register for free and you'll be able to post messages on this forum and also receive emails when $$$ MR. MARKET $$$ makes his own trades. ($$$MR. MARKET$$$ is a proprietary investor and does not provide individual financial advice. The stocks mentioned on this forum do not represent individual buy or sell recommendations and should not be viewed as such. Individual investors should consider speaking with a professional investment adviser before making any investment decisions.)
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An excellent group as usual , but I see AVAV and SYNA as being a little weaker than the rest if you place a high value on projected earnings. You could just about do a coin toss on the other 3 with maybe NFLX not quite up to par. EBS and ESI are really hard to choose between. If you go strictly according to future earnings it would be EBS. The charts and all around strength along with stability of price tell me the next winner is ESI.
Here are the top 5...I will be buying one of these winners this week:
AVAV EBS ESI NFLX SYNA
Which one do you like (and why)?
Well, MM, if you go to the Inauguration Top Five Data dump, you'll find this post by me:
ESI: I like the chart. I see resistance at $130, and it is already $111. That means the target is pretty close to 15% already, and I'd like a little more breathing room.
The way I see it is has to be ESI as the #1 chart. Following that APOL, RNT, EBS, and LPHI.
I also see a bear market for awhile, and it isn't the best environment to pick a long. These are no doubt good companies with bright futures trading in a risky market environment.
I personally think MM will pick APOL for this go-round. Good luck MM!!
There it is, folks. One of those rare times that if MM had taken my advice, he'd already
have his 15% in hand. And now he's considering buying the stock after the cow has already been milked dry. FORGET ABOUT IT.
Now let's look at that daily ESI chart and see where I'm coming from. It hit the target, and now is forming a head and shoulders top. FORGET IT. It is working on a double top, imho. Next stop: $95 or lower, imho.
The daily says a drop below $118 on volume would signal a drop to around $95. A breakout above $134 on volume says I've got it all wrong.
The weekly shows a double top. If ESI could take out $134 on volume, that would be a HUGE cup fit for MM: $210 target! I just don't think it will happen.
Last edited by Karel; 02-15-2009, 03:42 AM.
Reason: Thumbnailed HUGE images
I'll continue my discussion we were having before we were so rudely interrupted . . . .
EBS: Has the best chart of all, imho. I want to see it breakout over $26 before I buy, as that would be "confirmation" [look it up on IBD, BillyJoe] that she's going to run to $41! That would make, let's see, not 15%, but 63%!
AVAV: sports a very lose chart, and it doesn't inspire confidence in me as I look at it. And the fact that it shows the bearish chart pattern of a rising wedge also gives me the screaming mimis. Forgetaboutit.
SYNA: well, another chart that could go "pop." And I'm not talking about it popping higher, either. Officially, it is still in a downtrend. Let's just say it's got an ugly chart, and leave it at that.
NFLX: sports a hot shot chart IF NFLX breaks out above $40 on volume. Would then have a $62 target. NICE.
And dah winnah is: EBS! Followed by NFLX, and ESI, AVAV, and SYNA.
Mr. Market – I’m a newbie here, so first let me say thank you for sharing your picks as well as your methodology. If I understand your model correctly, after you determine the top 5, you look at Hagstrom, IBD, and stock fundamentals. The only stock of the five that is tracked by Hagstrom is ESI and he rates it “no interest”. I don’t currently have an IBD subscription, so I don’t have that data point. MSN stock scouter has NFLX a 7, AVAV and SYNA at 8, ESI a 9, and EBS a 10, so those all seem pretty good with NFLX maybe a little low? ESI has the highest ROE and profit margin, but they have (significant?) debt and a somewhat low current ratio, which may be important considerations in this economy. I’m leaning toward EBS. I started looking at them after your inauguration day top 5. They appear to have a stronger balance sheet, the second-highest ROE and profit margin of the five, and low debt. Second choice is AVAV due to strong balance sheet and no debt, though lower ROE and profit margin. Looking forward to hearing your favorite, since you are Huge and my portfolio’s performance has been pretty puny lately. Thanks again for providing this forum...
Mr. Market – I’m a newbie here, so first let me say thank you for sharing your picks as well as your methodology. If I understand your model correctly, after you determine the top 5, you look at Hagstrom, IBD, and stock fundamentals. The only stock of the five that is tracked by Hagstrom is ESI and he rates it “no interest”. I don’t currently have an IBD subscription, so I don’t have that data point. MSN stock scouter has NFLX a 7, AVAV and SYNA at 8, ESI a 9, and EBS a 10, so those all seem pretty good with NFLX maybe a little low? ESI has the highest ROE and profit margin, but they have (significant?) debt and a somewhat low current ratio, which may be important considerations in this economy. I’m leaning toward EBS. I started looking at them after your inauguration day top 5. They appear to have a stronger balance sheet, the second-highest ROE and profit margin of the five, and low debt. Second choice is AVAV due to strong balance sheet and no debt, though lower ROE and profit margin. Looking forward to hearing your favorite, since you are Huge and my portfolio’s performance has been pretty puny lately. Thanks again for providing this forum...
Nice work, Aaron. I, too, am anxious to see which stock the Huge One will buy. I like it when he gets these 15% runners in a hurry, because I like the way he posts his top picks. Best wishes to you, too.
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