Spike's Scientific Stock Analysis

[spikefader]

Wow, if it were a snake it would have bit me!!

Thanks Spike

I take it you found out how to do it!

[Thomrich]

Greetings Spike,

I mentioned DRL a few months ago as a great long term investment,since over the last 10 years its near the top in every catagory in capital return,until recently.

DRL peaked around 49,dropped to low 40s after "not good enough earnings" so they said.

Now this week it drops to low 20s,on possible earnings problems.

At the low 40s,insiders bought about 20mil in shares,so I assumed they knew something.This obviously shows even insiders dont buy the bottom.

My question is,given its long term track record,does a chart show anything that might indicate whats going on?

Im stunned,considering how this has been ravaged this week.If DRL can lose 50% in a week,any stock is vulnerable IMO.

cordially Tom,,

BTW nice work on MSO,I need to get a margin acct so I can short with you.

[spikefader]

Wow Thomrich. DRL is one ugly chart. And ya know what, you are absolutely spot on that any stock is vulnerable. There's not safety net but for the ones we create for ourselves. A stock as solid as you described, looking so good, and so safe........and yet it dropped faster than my pants when I've had too much curry.

Where was the whisper? The green channel bust.
Where was the scream? The pink channel bust.
Where is the numb disbelief? The red channel bust.
Where is the bottom? Lord knows. Long is a no-no with that red channel bust.......unless you're good at catching knives like Jiesen. I'll be looking for a big bear flag to form first. It's got lots of work to do to justify a long, that's all I can say.

[New-born baby]

Interest Rates

Wow Thomrich. DRL is one ugly chart. And ya know what, you are absolutely spot on that any stock is vulnerable. There's not safety net but for the ones we create for ourselves. A stock as solid as you described, looking so good, and so safe........and yet it dropped faster than my pants when I've had too much curry.

Where was the whisper? The green channel bust.
Where was the scream? The pink channel bust.
Where is the numb disbelief? The red channel bust.
Where is the bottom? Lord knows. Long is a no-no with that red channel bust.......unless you're good at catching knives like Jiesen. I'll be looking for a big bear flag to form first. It's got lots of work to do to justify a long, that's all I can say.

Tom,

I guess that chart proves that interest rates are on the rise. Greenspan must be on the board of this company. I wonder if the big boys are shorting their own stock.

By the way, Jessie Livermore says that CEOs and insiders know nothing about the stock market, and following insider buying is a bad habit. "Blind leading the blind." He says CEOs are not much more than glorified cheerleaders whose job with the investing public is to calm nerves and keep investors on board. "Don't trust 'em."

Doral makes OFG's drop look inconsequential.

[skiracer]

Runner,
What website did you get that setup that you posted. Was it Quote Tracker an is it free?

Regardless of the chart, which doesn't tell you everything and sometimes doesn't give you a clue as to what is going to happen, you have to follow what is going on in sectors as far as which ones are showing strength and which ones are weakening and the reasons for it.

The dollar is very weak against most other major currencies an energy and commodity prices are escalating. Basic prescription for rising interest rates and inflation. When this takes place the sectors most affected in general are home builders, financials and mortgage lenders, and Reits.

This isn't to say that you won't find a long play occassionally in a weakening sector but for the most part caution is the priority. The odds are much more in your favor staying in the strengthening sectors for the shorter term trades in market conditions like the present.

[Runner]

Skiracer, Medved has free real time charting that links into your brokers site. I like it because of all the different indicators you have available. You are correct about staying in sectors that are showing strength. My time frames have been reduced to 60 min, 13, 3, minute charts and time in stock may last for a few minutes to a few hours. Once this market starts to rally I’ll change my time frames. When playing these tight time frames I mainly key off the Stochastic Oscillator, and sma.. I look for setups and buy when signals are given, most of the stocks I could not even give you the name of the company or even what they do. All positions are closed before the bell and by the end of the day I’m in cash.

[skiracer]

Runner,
Your take on it sounds like a viable plan to me. I always try to stay as flexible with my trading as I can to flow with the ever changing market conditions. Basically I think our feelings are similar in those respects. Good luck and thanks for the answer.

[skiracer]

Runner,
Could you please give me the site address. I tried www.medved.com and got a chevrolet dealership in Colorado. Thanks.

[Runner]

http://www.quotetracker.com/

Skiracer,This is the download page

[New-born baby]

Still a bear?

I think we've got some more bear coming until first of April.

Click twice to enlarge.

[scifos]

NBB: I see you're using ImageShack now too! Pretty slick huh? Did you sign up as a member?

[New-born baby]

Sure!

NBB: I see you're using ImageShack now too! Pretty slick huh? Did you sign up as a member?

Sure thing! IF I don't get into trouble using it so much. I love it! And best of all, it is fffffrrrrrreeeeeeeeeeeee!

[Thomrich]

Wow Thomrich. DRL is one ugly chart. And ya know what, you are absolutely spot on that any stock is vulnerable. There's not safety net but for the ones we create for ourselves. A stock as solid as you described, looking so good, and so safe........and yet it dropped faster than my pants when I've had too much curry.

Where was the whisper? The green channel bust.
Where was the scream? The pink channel bust.
Where is the numb disbelief? The red channel bust.
Where is the bottom? Lord knows. Long is a no-no with that red channel bust.......unless you're good at catching knives like Jiesen. I'll be looking for a big bear flag to form first. It's got lots of work to do to justify a long, that's all I can say.

Greetings,
The alarming thing is usually a stock like DRL,which has been steadily climbing year by year,not huge run-ups,rarely nosedive that hard from what I have observed.

Something is very wrong for sure,yet looking on DRLs board,folks are buying all the way down,calling the bottom each day.

2 company officers lost 10mil this week alone,makes me feel a little better a bout my insignificant losses.Could this be a beginning of financials taking a beating?

cordially Tom

[New-born baby]

Perfect AVATAR

Skiracer, Medved has free real time charting that links into your brokers site. I like it because of all the different indicators you have available. You are correct about staying in sectors that are showing strength. My time frames have been reduced to 60 min, 13, 3, minute charts and time in stock may last for a few minutes to a few hours. Once this market starts to rally I’ll change my time frames. When playing these tight time frames I mainly key off the Stochastic Oscillator, and sma.. I look for setups and buy when signals are given, most of the stocks I could not even give you the name of the company or even what they do. All positions are closed before the bell and by the end of the day I’m in cash.

Runner,

You're great! I wish I could trade like you! You need to describe your method very clearly on your thread so us new-borns can learn to crawl.
You've got the perfect avatar: just swooping down on unsuspecting stocks and ripping off a profit!

[dmk112]

http://www.quotetracker.com/

Skiracer,This is the download page

Runner, any way to do fib retracements on the charts with this software??