Le marché boursier est tellement facile...
This stock market is so easy right now I can even trade in French. And I don't speak French... but it's that easy. I wrote late yesterday I had bough CB Richard Ellis (NYSE:CBG) on a breakout over resistance. I lied; my order was about 5 seconds late and I missed the close - so rather than a $19.20 entry, it was this morning's $19.40. No problem - whatever the price you buy, you win in the Bernanke supported market. But it cost me 1% of profit. [Click to enlarge]
Here we have a 5-week consolidation period (boxed in on the chart above); I was seeking a close over $19 and preferably a spike in volume. No volume? No problem (nowadays). All you need is price; volume is so 2005.
Today the stock has already hit $20. Is this due to any skill? Who knows anymore, since everything rallies. But that was the genesis of the trade. I only now kick myself for not buying a huge position as no one loses in the market.
Disclosure: Long CB Richard Ellis Group in fund; no personal position