The List of 30
Stockscores.com Perspectives for the week ending October 1, 2011
In this week's issue:
1. Buying a weak stock is like betting on a slow horse. It is foolish.
2. Stocks are only cheap if they are going higher after you buy them.
3. Never trust a person more than the market. People lie, the market does not.
4. Controlling losers is a must; let your winners run out of control.
5. Simplicity in trading demonstrates wisdom. Complexity is the sign of inexperience.
6. Have loyalty to your family, your dog, your team. Have no loyalty to your stocks.
7. Emotional traders want to give the disciplined their money.
8. Trends have counter trends to shake the weak hands out of the market.
9. The market is usually efficient and cannot be beat. Exploit inefficiencies.
10. To beat the market, you must have an edge.
11. Being wrong is a necessary part of trading profitably. Admit when you are wrong.
12. If you do what everyone is doing you will be average, so goes the definition.
13. Information is only valuable if no one knows about it.
14. Lower your risk till you sleep like a baby.
15. There is always a reason why stocks go up or down, we usually only learn the reason when it is too late.
16. Trades that make a lot of intellectual sense are likely to be losers.
17. You do not have to be right more than you are wrong to make money in the market.
18. Don't worry about the trades that you miss, there will always be another.
19. Fear is more powerful than greed and so down trends are sharper than up trends.
20. Analyze the people, not the stock.
21. Trading is a dictators game; you cannot trade by committee.
22. The best traders are the ones who do not care about the money.
23. Do not think you are smarter than the market, you are not.
24. For most traders, profits are short term loans from the market.
25. The stock market cannot be predicted, we can only play the probabilities.
26. The farther price is from a linear trend, the more likely it is to correct.
27. Learn from your losses, you paid for them.
28. The market is cruel, it gives the test first and the lesson afterward.
29. Trading is simple but it is not easy.
30. The easiest time to make money is when there is a trend.Back To Top
The markets are bearish and uncertain, making it a challenge for any investor to extract gains. For the trader with a shorter term view, the price volatility presents a great opportunity to make profits. However, the approach to the market has to be based on market action rather than information. Few stocks are trading on fundamentals.
I view this as a swing traders market since we tend to see price swings up and down that last a few days before reversing. As the market dropped sharply again on Friday, one sector managed to hold up well. That group is the Gold mining sector, which has sold off with Gold over the past few weeks but appears to be making a bounce from oversold conditions.
I expect that these stocks have a good chance of rising next week because the sector was able to break its short term downward trend late this week while stocks in general suffered further losses.
To find some opportunities, I used the Live Lists on Tradescores.com. I logged in to the Chart Watch tool and selected the Canadian Gainers lists which I viewed in the Gallery viewer. Many Gold mining stocks were on that list and a couple stood out as good opportunities for next week.Back To Top
1. T.K
A nice intraday pattern shaping up on T.K, I like it as a swing trade if the stock can break through $15.60 which it consolidated under on Friday. If it does that, look for a move higher but protect capital with a stop loss point around $15.30.
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2. T.CSI
The daily chart of T.CSI is ugly but also oversold, meaning it should bounce back in the short term. The stock broke its intraday downward trend on Friday, giving us a signal that it will start that bounce back early next week. This is a swing trade that requires some attention, support at $5.35.
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References
Get the Stockscore on any of over 20,000 North American stocks.
Background on the theories used by Stockscores.
Strategies that can help you find new opportunities.
Scan the market using extensive filter criteria.
Build a portfolio of stocks and view a slide show of their charts.
See which sectors are leading the market, and their components.
Disclaimer
This is not an investment advisory, and should not be used to make
investment decisions. Information in Stockscores Perspectives is often
opinionated and should be considered for information purposes only. No
stock exchange anywhere has approved or disapproved of the information
contained herein. There is no express or implied solicitation to buy or
sell securities. The writers and editors of Perspectives may have positions
in the stocks discussed above and may trade in the stocks mentioned. Don't
consider buying or selling any stock without conducting your own due diligence.
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