Penny Stocks: Anatomy of a Trade (fka TOAST)

[Ruellit]

Quote Tracker
http://www.medved.net/quotetracker/


ProfitOften
See ya,
muel <g>

[2desire]

Vendit
Where can you get this software "Quote Tracker"? TIA. By the way, great board!
2desire

[Ruellit]

I will pick up the software and then hollar back at ya for setting it up if I run into problems. Right now I'm using Alphatrade and like it very well, it gives me RT quotes on pinkies as well as BB's. It's also a streamer. I like the idea of watching the stock with the 30 minute group, reminds me of shortening the stochastics down 5-3-3!

DYODD & MYOD
muel <ggg>

[Vendit]

I use a free software program called QuoteTracker. It is a streamer, news feed and RT intra-day charting tool. It also has RT L-ll and a lot of other things.

The lines I refer to are stochastic and MACD indicators on an intra-day real time dynamic 1 minute chart. I look at it in 30 minute group when trading. This means that as 1 minute passes a new 1 minute candle is formed which causes the oldest candle to drop off the chart.

It's not complicated.

Reid

[Ruellit]

Good point Arch and yeah I still need to learn to do just that. Could have doubled my shares today had I sold close to 0.095. I do have a ligit excuse as you know, my account was in the middle of a transfer when ABRG ran! I'll always be learning in this business!

DYODD & MYOD
muel <ggg>

[Archangel]

Don't feel bad about this Muel - but I can tell you, even with stocks where I believe in the long term potential, I will sell a portion on any run-up. I work with fair size blocks of shares, and you already know my trading approach with QBID - to survive in the otcbb world, you learn to just do it:)

Arch

[Ruellit]

Removing the emotions from the tradeing is, or can be difficult when you see your account increasing in value at a rapid pace! This does occur with bulentin board stocks fairly often, so long as your picking the right stocks. I for one find the use of TA difficult to adhear to when one of my picks is running. Two weeks ago ABRG was selling for 0.024 ps, it ran to 0.095 and I'm still holding it. That represents a 350% increase, I should have sold some if not all, but didn't because of my belief that it will run higher shortly. It has retraced since then to the 0.053 level. Had I been able to buy back shares I had sold, well you know!
What are these real time lines you mentioned, and where can I get them to use.

DYODD & MYOD
muel

[Ruellit]

Don't understand the question?
DYODD = Do Your Own Due Diligence
MYOD = Make Your Own Decisions

DYODD & MYOD
muel

[Vendit]

Emotionless trading is what trading using technical signals is all about. All you have to do is watch a couple of real time lines cross-over in any time frame to tell you when to buy and sell.

Reid

[Vendit]

Re: DYODD & MYOD

Is it available online?


Reid

[Ruellit]

Superb example of why emotions have no place in the market, or shouldn't have! Good read!

DYODD & MYOD
muel

[Ruellit]

Reid this is an excellent guide for understanding the anatomy of trading. I'll be reading this over and over until I have it memorized!

DYODD & MYOD
muel

[Ruellit]

If I might give my opinion Arch, the Stochastics and Williams R are both indicating an oversold condition, the momentum has been negative for the last three sessions, but this is no guarentee it will remain so! What say you Reid, has this one bottomed out?

[Archangel]

Now using those same settings on IHTL, it looks like that one also may have a little more work to do before we get a clear buy signal. Appears we could see a little more downside there too, but you never know for sure!

http://askresearch.com/cgi-bin/chart?symbol=ihtl&exchange=USA&size=640x480&months=3+mont...



Arch

[Vendit]

CLSI is one that IMO is not volatile enough to use my setup of indicators on successfully. Bollinger seems to be about the most useful tool in the below chart and is suggesting a move to the lower band which agrees with your assessment....heading a little lower.

http://askresearch.com/cgi-bin/chart?symbol=CLSI&exchange=USA&size=640x480&months=3+mont...

Reid

[Archangel]

Reid, on the CLSI example, using your settings, it appears there's a little more downside to go before a desirable entry is achieved. You agree?

http://askresearch.com/cgi-bin/chart?symbol=CLSI&exchange=USA&size=640x480&months=3+mont...

Arch

[Vendit]

The lower trend line is a great place to target a medium term entry. The past two have happened like clock work on the 1st and 2nd day of a new quarter which suggests that the fund managers are window dressing IMO.

http://www.askresearch.com/cgi-bin/chart?symbol=AOL&exchange=USA&size=640x480&months=6+m...

Trend lines are nothing more that general targets, oscillators are the short term triggers so many trades can be made using them in between upper and lower trend channels.

My normal time line is 1 to 3 days but if I am trading intra day the time line (buy-hold-buy-hold) may have a 15 minute to 2 hour trend trade reversal situation.


Reid

[Vendit]

Re: ECEE

It looks like you got the close above .04.<g>

Obviously .04 is now new lower support and I see “little” bend of trend so at very least I would expect some additional upside intra-day tomorrow. It’s time to tune stochastic settings to 5-3-3 and watch the fast black line for a directional shift down.

I mentioned yesterday that I saw some additional targets above .04 if a close above that level was made which it was. 06 was next on the list and was also achieved.

I suspect this next target will get hit in the morning…….. .06499. Above that if breached is .07 and .075

I suspect some profit taking will begin as early as tomorrow but using only logic in my assumption and all is JMO.

The chart you showed me in your link back does not contain my settings generally speaking.

I set up like this.

http://www.askresearch.com/cgi-bin/chart?symbol=ECEE&exchange=USA&size=640x480&months=3+...

3 month
Candlestick
Bollinger 10-day

Stochastic 15-5-5 for entry, 5-3-3 for exit.
MACD 8-17-9
William’s R default setting
Money Flow 13

I don’t use volume because daily 1mm is a rule and volatility a given so I do not need that indicator. I did use it when in small and micro caps.



Reid

[Archangel]

CLSI, here's one where the TA really helped in making a decision not to buy at .018/.019. Did not like the indicators, pretty much negative, and overbought, and sure enough, closed at .017. Will look for entry below .015, if the chart shapes up:)

http://askresearch.com/cgi-bin/chart?symbol=clsi&exchange=USA&size=640x480&months=6+mont...

Arch

[Caradoc]

XRay: Good point. I guess MMs have so much clout they unconsciously figure they can ignore accumulation. Or consciously figure the same thing if they're selling shares that don't exist. Evenso, I'll start paying more attention to A/D. Thanks again!

Caradoc

[Archangel]

Yep, the lower trendline for AOL does extend to 36---->do you frequently see pullbacks to these lower trendlines to fill the gap, and is this how you pick some, if not all, of your entries?

Arch

[Archangel]

Thanks Reid for the ECEE read. I notice AskResearch sometimes drops the settings, as in your post. Are these the settings that fit your (superb) analysis:)

http://www.askresearch.com/cgi-bin/chart?symbol=ECEE&exchange=USA&size=640x480&months=1+...

Arch

[Archangel]

It all depends on how much risk you're willing to take versus how much reward you're going after. For my taste, the risk/reward ratio (considering that AREE has recently had its "bad" news and has various irons in the fire that could trigger "good" news) looks pretty favorable.

oh so true doc, and sometimes (with these pennies) the best bet is buy in a half or a third of what you really want, at or near to what you believe to be the bottom, and buy a little more from there (on any dips below your initial entry) until you've had your fill.

Welcome to the TOAST board Caradoc!


Arch

[Vendit]

You are calling it right IMO.

Small caps will take some personal adjustments on my end.

Reid

[Archangel]

This is why I thought XYBR might well defy any TA we could do. I had also heard big news coming this week. STOR is another one that at least temporarily, appears to be defying logical TA:) Whether that will continue, time will tell!

Arch

[Vendit]

It is hard to get any broker to take a stop loss order on an OTC stock. Mine will but it is rare among brokers.

Reid

[Vendit]

XYBR after close.

http://quote.bloomberg.com/fgcgi.cgi?T=quote/marketsquote99_news_list.ht&ptitle=A&wires=PRN,...

FWIW I am a pure technical trader and do not read news. Someone pointed this out to me who is not a trader after reading my post and chart here.

Reid

[Richx]

Hi Reid, It's been around for awhile. I've been buying and trading it for about 1 1/2 years now. Although this last time it went down down down. I guess thats where a stop loss should have been in order. Rich

[Vendit]

100 is a legitimate post grub.<g>

http://www.investorshub.com/boards/board.asp?board_id=467

Reid

[serpico]

thank you xray, intend to wait for any dip below .003 anyway. i'm very cheap

cheers. serpico

[xxrayeyes]

Hey, I was the 100th post!!!

[xxrayeyes]

You're welcome!

[Vendit]

Done, and thank you.

http://www.investorshub.com/boards/board.asp?board_id=648


Reid

[Vendit]

Same to you sir!

Reid

[xxrayeyes]

Vendit- Yes. You may link if you wish.

[xxrayeyes]

The A/D Line often turns positive before price action. While this is not always the case, it often is with otc stocks. Seems the MMs are slow to react to accumulation.

[Archangel]

Kudos and thanks Reid! Have a great day! eom

http://www.investorshub.com/boards/read_msg.asp?message_id=115477



Arch

[Vendit]

xray

I would like to put your post that I am responding to or one of it's links in this thread's header for quick reference unless you object. It contains some valuable resources, which you provided.

Let me know.


Reid

[Caradoc]

AREE: It's true that nobody can actually call a bottom until after upward movement allows hindsight to say "Yep. That was the bottom." In reverse, waiting for that confirmation is a sure way to turn what would have been 1000% profit at a particular level into only 500%. This is particularly true with a stock that has a history of large volume so that the move from 1/3 cent to 2/3 would/will take place within an hour of any favorable news.

It all depends on how much risk you're willing to take versus how much reward you're going after. For my taste, the risk/reward ratio (considering that AREE has recently had its "bad" news and has various irons in the fire that could trigger "good" news) looks pretty favorable.

Caradoc

[Vendit]

P&F charts make trend lines, support and resistance levels easy to spot.


http://stockcharts.com/webcgi/PnF.asp?S=XYBR


You can see (in the above link) the upper red trend line is about to be touched.

=================================================================

 
 28.00 /                                                      /                         /    / 28.00 
   27.00 /                                                      /                         /    / 27.00 
   26.00 /                                                      /                         /    / 26.00 
   25.00 /       +                                              /                         /    / 25.00 
   24.00 /   X   X +                                            /                         /    / 24.00 
   23.00 /   X O X O +                                          /                         /    / 23.00 
   22.00 /   X O X O   +                                        /                         /    / 22.00 
   21.00 /   X O X O     +                                      /                         /    / 21.00 
   20.00 / O X O X O       +                                    /                         /    / 20.00 
   19.50 / O X O X O         +                                  /                         /    / 19.50 
   19.00 / O X O X O           +                                /                         /    / 19.00 
   18.50 / O   O X O             +                              /                         /    / 18.50 
   18.00 /     O X O               +                            /                         /    / 18.00 
   17.50 /     O X O                 +                          /                         /    / 17.50 
   17.00 /     O X O                   +                        /                         /    / 17.00 
   16.50 /     O X O                     +                      /                         /    / 16.50 
   16.00 /     O X O 4                     +                    /                         /    / 16.00 
   15.50 /     O X O X O X                   +                  /                         /    / 15.50 
   15.00 /     O   O X O X O                   +                /                         /    / 15.00 
   14.50 /         O X O X O                     +              /                         /    / 14.50 
   14.00 /         O + O X O                       +            /                         /    / 14.00 
   13.50 /         +   O X O                         +          /                         /    / 13.50 
   13.00 /       +     O X O                           +        /                         /    / 13.00 
   12.50 /     +       O X O                             +      /                         /    / 12.50 
   12.00 /   +         O X O X       X                     +    /                         /    / 12.00 
   11.50 / +           O X O X O     X O     X               +  /                         /    / 11.50 
   11.00 /             O   O X O X   X O     X O 7             +/                         /    / 11.00 
   10.50 /                 O X O X O X O     X O X O            /+                        /    / 10.50 
   10.00 /                 O X O X O X O X   X O X O            /  +                      /    / 10.00 
    9.50 /                 O X O   5 X O X O X O X O            /    +                    /    / 9.50 
    9.00 /                 O X     O   O X O X O   O X          /      +                  /    / 9.00 
    8.50 /                 O X         O   6 X     O X O        /        +                /    / 8.50 
    8.00 /                 O X             O       O 9 O        /          +              /    / 8.00 
    7.50 /                 O X                     8 X O        /            +            /    / 7.50 
    7.00 /                 O X                     O X O        /              +          /    / 7.00 
    6.50 /                 O                       O X O        /                +        /    / 6.50 
    6.00 /                                         O X O        /                         /    / 6.00 
    5.50 /                                         O   A X      /                X        /    / 5.50 
    5.00 /                                             O X O X  /                X        /    / 5.00< 
    4.75 /                                             O X O B O/X               X        /    / 4.75 
    4.50 /                                             O X O X O/X O             X        /    / 4.50 
    4.25 /                                             O X O   O/X O X           X        /High/ 4.25 
    4.00 /                                             O X     O/X O X O         X        /    / 4.00 
    3.75 /                                             O       O/X O 2 O         X        /    / 3.75 
    3.50 /                                                     O/X O X O     5   X        /    / 3.50 
    3.25 /                                                     O/X O   O X   X O X        /    / 3.25 
    3.00 /                                                     O/X     O X O X O X        /Avg / 3.00 
    2.75 /                                                     O/X     O X O X O X        /    / 2.75 
    2.50 /                                                     C/X     O   O X O          /    / 2.50 
    2.25 /                                                     O/1         O X            /    / 2.25 
    2.00 /                                                     O/X         3 X            /Low / 2.00 
    1.75 /                                                     O/X         4              /    / 1.75 
    1.50 /                                                     O/X                        /    / 1.50 
    1.25 /                                                     O/                         /    / 1.25 
    1.00 /                                                      /                         /    / 1.00 
    0.88 /                                                      /                         /    / 0.88 
    0.75 /                                                      /                         /    / 0.75 
    0.63 /                                                      /                         /    / 0.63 
                                                                01                                      
 -------------------------------------------------------------------------------- 
 

Reid

[Vendit]

Yes

<g>

http://www.investorshub.com/boards/read_msg.asp?message_id=115452

Reid

[Vendit]

Arch

I changed a few settings to get a little better feel for ECEE. 10 day bollie, added Money flow and Williams R.


http://www.askresearch.com/cgi-bin/chart?symbol=ECEE&exchange=USA&size=800x600&months=6+....

Just a few observations. Look at William’s R. It is on the ceiling, which shows an over-bought condition but is by no means a buy or sell trigger. It just gives you a feel for the general positive or negative health of a stock. Looking backwards you will see that Williams does not stay in this condition more than a day or two so look for any move up as a selling opportunity.

MACD, which is a momentum indicator, has signaled buy and is headed positive. The draw back here is that it signaled from a very shallow area in correlation to the zero neutral line. This means momentum to the up side is present but will likely be short lived. This agrees with what I just said about the William’s indicator.

Stochastic has a newly “confirmed” buy signal in place and no sign of a bend in the trend so additional upside follow through is likely tomorrow IMHO.
A nice bullish shaven top open candle formed Friday concurs with upside follow through.

As you pointed out, the Bollinger Bands have closed down on the stocks trading range the past 11 sessions. This indicates that the stock has been under slow accumulation by traders. Friday’s candle now touches the upper bollie which is another upper momentum signal in the above setup.

So where will it go? I see fair upper resistance at .04. A close above that level would make .04 new lower support. If it closes above .04 on Tuesday let me know and I will take another look at the indicators and do another read. I see two more upper targets above .04 but William’s has my attention.

All is JMHO

Reid

[Archangel]

XYBR may see a pullback soon--->it's had a nice run from 2.80/3.00. Chart indicates an overbought condition - worth watching to see if TA correct, or FA will push it higher.

http://askresearch.com/cgi-bin/chart?symbol=xybr&exchange=USA&size=640x480&months=6+mont...



Arch

[Vendit]

You are correct when you say that AREE is one, which is not measurable using daily charts. In fact it looks like it has only been trading for a month or so but when I go to the "Company Snapshot" link I see a 52 week high or .44.

http://www.dbc.com/cgi-bin/htx.exe/squote?SOURCE=blq/ask&Ticker=AREE&format=fraction&tab...

Maybe AskResearch has only recently added the stock to it's data base. How long has this one been on the OTC?

Many times a stock like this is very readable using intra-day dynamic real time i-minute charts for day trades.



Reid

[Archangel]

In fact Reid, looking closely at that ECEE chart, that sure looks like a confirmed STOC buy signal - would you concur?

good rule of thumb: A bullish signal occurs when the (Black-%K) rises through the (Green-%D) when it is below 20. A bearish signal occurs when the (Black-%K) goes under the (Green-%D) above 80.







Arch

[Archangel]

Reid, would you agree that ECEE is showing some positive indicators (tightening bb's, STOC) that now may be the time to jump in?

http://www.askresearch.com/cgi-bin/chart?symbol=ecee&exchange=USA&size=800x600&months=6+...

Arch

[Archangel]

For an excellent discussion of the MACD:

http://stockcharts.com/education/Resources/Glossary/MACD.html



Arch

[xxrayeyes]

I would wait for the A/D Line to show an uptrend before I'd call a bottom.

[xxrayeyes]

serpico- I only day trade the QQQ right now and sometimes CMGI, depending on the trends. Yes, I use the MACD indicator along with candles, trend lines, and chart formations. Stockcharts.com has a good MACD primer if you'd like to take a look.

[Richx]

serpico, I definitely am not the one to ask. Trying to figure that out myself. Rich