GGI (WHC) update!

[Dave]

If anyone is watching, GGI has crept back up, and is poised to make a nice run. Some nice analyst coverage was initiated the other day, and earnings for Q1 are upcoming.

-Dave

[spikefader]

Re: GGI (WHC) update!

If anyone is watching, GGI has crept back up, and is poised to make a nice run. Some nice analyst coverage was initiated the other day, and earnings for Q1 are upcoming.
-Dave

Be careful with this one. Could also be poised to drop. Smart money will wait for better entry.

http://img47.photobucket.com/albums/v145/spikefader/Trading/GGI_wait.jpg

[mimo_100]

GGI is ready

GGI is proof of MRMarket's method. It looks ready to move to new
highs.

[spikefader]

This is a good one to show proof that the 50% retrace entry in a Mr.Market pick can have you in and out faster, and with more profit if you're still holding it.

[mimo_100]

This is a good one to show proof that the 50% retrace entry in a Mr.Market pick can have you in and out faster, and with more profit if you're still holding it.

Hello Spike,

I am not sure what you are saying here. Do you mean it is better to
compute the Fib 50 percent level when mr market buys, then
wait for a pull back to that level?

[spikefader]

Hello Spike,

I am not sure what you are saying here. Do you mean it is better to
compute the Fib 50 percent level when mr market buys, then
wait for a pull back to that level?

Close, I'm actually saying take a 50% move from a significant low to a significant high, not merely from where Mr.Market enters. See what I've done in the chart.

[mimo_100]

Close, I'm actually saying take a 50% move from a significant low to a significant high, not merely from where Mr.Market enters. See what I've done in the chart.

Mr market entered on jan 9, 2004 around 24.11 which was a significant
high at that time, if not close to an all time high. The significant low was
where you drew the line at 13.49. So 50% would be somewhere around 18.
You seem to be saying to wait to buy, rather than follow Mr Market and buy right away. Thanks for any detail you can provide.

Tim

[spikefader]

Mr market entered on jan 9, 2004 around 24.11 which was a significant
high at that time, if not close to an all time high. The significant low was
where you drew the line at 13.49. So 50% would be somewhere around 18.
You seem to be saying to wait to buy, rather than follow Mr Market and buy right away. Thanks for any detail you can provide.

Tim

OK, I'd forgotten where he entered. Look at this chart to see how the first 50 retrace from his entry didn't get filled. But the 50 retrace from the April high was filled and would have you out already for your 15% or if you held it, it's up 30% today.

I'm tracking Mr.Market's top 5 list here for these 50% entries and post when I see them. From backtesting some of his other picks, the 50% retrace seems a great place to enter. Obviously 50% retraces can be drawn from different areas, but I'm trying to post any significant ones I see. Others are welcome to raise the alarm for any Mr.Market pick when they see a 50% retrace that looks worthwhile trading, and I encourage us all to monitor them. Maybe one day someone will devise an easy way to track them without manually checking and then we can all get an email alert when it happens. What a great tool that would be. (Any programmers out there willing to do this for us )

[Dave]

Now I am curious enough to delve into this and back-test it a bit. Once major thing to consider, is if you took all MM's picks and waited for the pullback to buy, how many would you miss that kept going up for the quick 15%? Would the missed winners balance out the pull-backs? It should be interesting.

A good strategy might be to always have some cash on hand, so if you buy one that pulls back a bit, you can double up, assuming there is no major reason for the pullback, such as with BEL.

Anywho, I will work on some numbers throughout the week and see what turns up.

-Dave

[mimo_100]

Now I am curious enough to delve into this and back-test it a bit. Once major thing to consider, is if you took all MM's picks and waited for the pullback to buy, how many would you miss that kept going up for the quick 15%? Would the missed winners balance out the pull-backs? It should be interesting.

A good strategy might be to always have some cash on hand, so if you buy one that pulls back a bit, you can double up, assuming there is no major reason for the pullback, such as with BEL.

Anywho, I will work on some numbers throughout the week and see what turns up.

-Dave

Hello Dave,

MrMarkets latest pick, CME, had a significant low around 116.39 on july 18 or 19, 2004. The recent high was 226.30 around December 13, 2004. MrMarket bot on December 15 at 222.74.

a 50 percent retracement would be around 171.345.

A few years ago I backtested about 50 MrMarket buys. I found that the average decline in price after his purchase was around 8 percent. There were very few purchases that retraced 50 percent. If they did retrace, the position was eventually sold off for a tax loss when the fundamentals changed.

I would be glad to post or email the Excel spreadsheet if you want to see what I did. I would be happy to team up with anyone and take a stab at some kind of alarm system that Spike suggested.

Tim

[billyjoe]

GGI update

CNBC story later today "Prison stocks set for Breakout"
billyjoe

[grebnet]

GGI story

I missed any story on this ????where did you see there was going to be one??

[billyjoe]

grebnet,
It was mentioned at about 10:30est am yesterday on CNBC. I was just passing by the tv and never got the time for broadcast and never saw it myself. I assumed it was shown yesterday.
billyjoe

[stocks54]

Ggi

I missed any story on this ????where did you see there was going to be one??

Read the following article on Money Central about prision stocks

http://moneycentral.msn.com/content/P105034.asp

[stocks54]

GGI - Update

The GEO Group, Inc. Announces Contract for the Reopening of 224-Bed McFarland Community Correctional Facility in California

http://biz.yahoo.com/prnews/050110/flm012_1.html