Friday, May 11, 2007

Good Late Morning World

Well I should have added to that GIGM position yesterday. Oh well. I added another 200 shares at $15.99. The way this is running, I'm wondering if it won't hit $17.50 before earnings. We'll just have to wait and see.

It looks like the Nas is going to bounce strongly from the 20 day average. If the bounce holds, today will be a good day to add to positions, and I think Monday might be the day to initiate some new positions. I may add another 100 shares to LNN.

I'm disappointed in the action in URZ, but I will maintain the position unless my stop is hit.

CMGI is looking decent again, but the way it has been selling off in the afternoon keeps me apprehensive about adding any here.

***Update*** Added 100 shares of LNN at 31.71. This stock is retracing on low volume, and pausing right at the 50 and 200 day averages. I feel there continues to be a good risk reward here.

6 comments:

mdawsz said...

Nice entry on LNN. The 200 is about break above the 50, bullish in my opinion. Crossover around 31.7; the weekly chart is setting nicely as well.

Ragin' Cajun said...

I was under the impression that a death cross is bearish. Please correct me if I'm wrong.

Death Cross - A crossover resulting from a security's long-term moving average breaking above its short-term moving average or support level.

As long-term indicators carry more weight, this trend indicates a bear market on the horizon and is reinforced by high trading volumes. Additionally, the long-term moving average becomes the new resistance level in the rising market.

Woodshedder said...

Ragin, I thought the same thing about his post. I can only assume he meant the PRICE crossing the averages.

mdawsz said...

Hey fucksticks, tell me...do you wish you bought RIMM or sold RIMM in June of 2006?

http://stockcharts.com/h-sc/ui?s=RIMM&p=D&yr=1&mn=0&dy=0&id=p37750509344

Woodshedder said...

M- I feel that is a rhetorical question made even more painfully obvious by a rhetorical chart, so I will not answer.

Tell me why you go against the conventional wisdom that a 50 cross under the 200 is bearish? I don't disagree on LNN, RIMM, etc. I'm just wondering why you get excited by that occurence, when most think it is terrible (death cross).

mdawsz said...

It's just one data point among many. I never lose sight that TA isn't perfect.

I'm getting tired with this market. Looking at taking some time off.