AI
Thursday, May 20, 2010 1:11:39 AM
Like I mentioned, I am not too concerned other than getting my position - I bought the ask that last couple days and paid the .239 high for a small portion even.
Strategy? Sometimes good to avoid the morning first hour. Short term (like one day), I would consider "rich" prices to be in the upper .20s. Anywhere in the teens is a strong buy, IMO. If you wish some chance or care with scaling in, hold some funds in case it returns to .14 - over the next days; it is a remote possibility (if that inverted scallop rather forms a head and shoulder - its target would be .14) If it is a continuation scallop and, at lows, then it has closed at the short term low. I am looking for more and would feel happy buying from here up to .22/.23,
Look at this very, very minutia clue on a 1 minute chart. This falling channel is from the top of the inverted scallop I showed from pricing Wednesday (I included that chart again below the first chart). It is a complete channel (that is too involved to explain, but what I call it) that has blown out the bottom support - culminating there in a possible double bottom. This is classic reversal behavior. It is such small minutia that it doesn't mean much in and of itself, but it lends evidence that the inverted scallop I showed will be operative as continuation - I read clues on all time frames and when many footprints support possible pattern formation, reasonable speculations can be made.
(Here's that channel and inverted scallop chart again for reference):
I really think it is not necessary to be too "careful" about accumulating right now - this stock will make it up and base some more in the .30s very soon, IMO. Any gap up or very fast move tomorrow to that top channel line / upper .20s would make me hold off, short term, for its reactive pull back.
Strategy? Sometimes good to avoid the morning first hour. Short term (like one day), I would consider "rich" prices to be in the upper .20s. Anywhere in the teens is a strong buy, IMO. If you wish some chance or care with scaling in, hold some funds in case it returns to .14 - over the next days; it is a remote possibility (if that inverted scallop rather forms a head and shoulder - its target would be .14) If it is a continuation scallop and, at lows, then it has closed at the short term low. I am looking for more and would feel happy buying from here up to .22/.23,
Look at this very, very minutia clue on a 1 minute chart. This falling channel is from the top of the inverted scallop I showed from pricing Wednesday (I included that chart again below the first chart). It is a complete channel (that is too involved to explain, but what I call it) that has blown out the bottom support - culminating there in a possible double bottom. This is classic reversal behavior. It is such small minutia that it doesn't mean much in and of itself, but it lends evidence that the inverted scallop I showed will be operative as continuation - I read clues on all time frames and when many footprints support possible pattern formation, reasonable speculations can be made.
(Here's that channel and inverted scallop chart again for reference):
I really think it is not necessary to be too "careful" about accumulating right now - this stock will make it up and base some more in the .30s very soon, IMO. Any gap up or very fast move tomorrow to that top channel line / upper .20s would make me hold off, short term, for its reactive pull back.
