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David A Fischer
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  • DGIT oversold after large gap and follow through selling.


    This is momentum and follow through panic selling after huge gap and so many longs continually getting battered and trapped, selling at 15 makes little sense. Buying 15 and change could do very well from here.

    That gap down destroyed any leftover longs and gave the shorts their prize trade of the year. Could it continue, possibly since stops have been triggered and margin will be again required. But this is more technical than fundamental down here.

    JMO. Do your own DD. Just my opinion, take it or leave it.
    Tags: DGIT
    Aug 30 3:40 PM | Link | 1 Comment
  • Galleon GO.TO breakout of downtrend.


    Lots of drilling this winter and plenty of cash to do so.

    That trendline break is a long one, with lots of far off targets well above here going into winter, pullbacks look buyable now.
    Aug 30 11:27 AM | Link | Comment!
  • After parabolics, charts need time to clean up!


    1. Huge parabolic selloff which skews human and technicals to some extent including Moving averages.

    2. After a huge parabolic move, there needs to be some distribution and cleaning up of the chart. Which simply takes time. This breakout only ends up a large bull trap which I not using one candle or trading day, since a bull trap does not have to be confined to one day. Analysis should be flexible in nature, and areas of trapping are far more powerful than one day traps.

    3. Which ends up being a bear trap. Chasers get destroyed thinking these breaks mean prices will follow through.

    Working off of smaller EMA's gives more foresight into direction than waiting for the longer time frames to indicate buys. Many traders and investors want a one direction market so they do not have to work. This is the kind of market where one has to work. Some sectors really strong, others at lows once again.

    If we stay sideways for years which is what I have been expecting, and not necessarily in the range indicated above, the range will be much bigger than that then traders will be wise to have numerous styles in their back pocket to chose from. Investors as well, when you have fantastic gains in your stocks, it may be wise to sell and take profits and wait for better buys later. Simply trading breakdowns or breakouts has simply destroy an investor or trader during these rangebound markets. Also the larger MA's are constantly being violated during these sideways markets.

    Tags: SPY
    Aug 06 2:32 PM | Link | 1 Comment
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