This blog was designed as a place for me to store links that I find helpful. These posts are not investment advice. If you’re looking for advice call your GO BROKER. My belief is the person who cares most about my investments is ME. My hope is the readers of this blog find the sidebar links as useful sources of information while attempting to learn how to manage their own money. As for advice, my Dad gave me the best I’ve ever heard, “Never trust anyone else with your money or your woman.”
Monday, March 30, 2009
RedDirt Bought some F
I placed 3 orders on Sunday to buy GLD, SPY and F. The only fill on the day was F. I looked at my 60 minute chart on Scottrade Elite and placed a buy limit@ $2.39. The trade was triggered and filled and at the end of the day I was up 15.48%. Amazing how the top of the trading band on my daily StockChart fell into line with where I saw support on my 60 minute chart on Scottrade. Damn, who would be so stupid to place a trade on a car company knowing all the bad news to be released on a trading day like today. Oh, WTF!!!! UP 15+%. Pat on the back for RedDirtTrader. Here's an update on my recent trades. Up 21.79% on BWEN, up 13.01% on DRYS, up 14.95% on GE and of course up 15.48% on F. I've got two open orders working: Buy SPY@$77.85 and GLD@$87.62. I'm not sure why the last sentence made links when I typed them in but, I'll post and follow the links to see what shows up.
Thanks for stopping by to see what RedDirt's doin'.
The WEEKLY CHART tells us if this rally is for real we should be looking for support around the 10 week ma of 789.97 and the 10 week ema of 797.12. Of course these ma's will move as the chart evolves, but this gives me a good idea of where a correction to the downside should find support.
Alright! Now is the time to get technical. I've added some indicator's to the DeadBeatChart to help us out. A couple of oscillating indicators along with a trend indicator. The slow stochastic indicator set at 20,20 along with the StochRSI set at 14 provide short term over bought or over sold indications of the market. The ADX set at 14 along with the moving averages tells us the overall trend of the market. The weakening of the downtrend has been evident with the falling ADX. I tend to keep an eye on the +DI and the -DI crossovers along with the direction of the ADX to confirm a change in direction for the market. Thanks for stopping by to see what old RedDirt is up to! Good luck with all your trades.
So far my post from Sunday March 8, 2009 is working out just fine. Candles provide much information that we must pay attention to. As for the long white candle and close above the 65 day ma here on March 23, 2009. I'd say this is a signal to all those trying to short this market,"WATCH OUT!" It could slam you in the face like a sledgehammer. Here's the chart.
I'm not going to spend a lot of time on this post. But, for those of you trading forex markets like myself, I'd pay close attention to the POUND/DOLLAR trade. Looks to me like this one is getting ready to move big in the opposite direction of the crash that has occurred over the past 9 months. I've switched my trading program from the YEN to the POUND to take advantage of what I'm seeing. Over the past 12 day's my program trading nearly doubled my forex account. The years of study and work learning the markets and how to read charts is finally starting to pay off nicely for old' RedDirt.
Thanks for stopping by and good luck with all your trades.
We knew that this 29 day ma would tempt many to take a nice profit. The thing I'm watching is where support will appear. Should it be at the 5 day ma (moving average) it will lead to another leg up to the 65 day ma. That means we could soon see 820 for the S&P 500. A break below the green 5 day ma would more than likely lead to a retest of 666 for this major average.
My quick observation of the bric country perf chart tells me that over the past 71 to 162 days that China and Brazil appear to be wanting to take the lead in this recovery. When the uptrend is confirmed for the $HKO those are the 2 BRIC etf's I'll be paying close attention too. EWZ and FXI. Although all of us feel we need to hold individual stocks to hit home runs, wouldn't it be nice to settle for a double for now!
I'm keeping my eye on the Hong Kong Option Index. This chart has long been one of my favorite charts for determining the direction for my BRIC (Brazil,Russia,India,China) Trade. The $HKO is telling me that although we've seen a nice bounce and have a stochastic buy signal, it has yet to cross above the moving average's. This tells me we're still in a downtrend. What I'd like to see is a close above the moving averages then a pull back which finds support at those ma's. This would verify to me that the trend has changed. All the links to my BRIC Trade are on the sidebar to the left. Check out RedDirt's BRIC Trade and RedDirt's FREE BRIC Trade Charts.
The doji candle from last Friday could be a bottom for now. I'll be expecting a nice rally from here if the low from Friday holds up during Mondays trade. A rebound to around 1000 on the $SPX would be 38% retracement of the move down from 1576. I'm starting my new job tomorrow so I'll be focusing more on the daily and weekly charts. I'll be using limit and stop orders to make all my trades. I've added a new link to the Blogs I Read sidebar. Click on DITC to check it out.
New Chart!!! When and "IF" this market ever turns around I think the best opportunities will be in the Growth stocks and Tech stocks. So, I'm looking at the IWZ for growth and the IYW for tech. This chart could help pick up a few extra percentage points per year by positioning with the trend of growth vs. tech.... As the chart trends up growth is out performing tech and as the chart trends down tech is out performing growth. Using these 2 iShares ETF's could make a difference in my trading scheme that would result in early retirement. Isn't that what it's all about? Chart is now added to the sidebar for your viewing pleasure. Have fun with this and good luck with your trades. Oh, and for Value, forget it, I thought GE was a hell of a buy in the 8's. Then 2 day's latter it was even a better value in the 6's. Maybe I'll buy some more when it drops below $1. This market really sucks!!
I can't believe it's been over a month since my last post. I can believe however the force of this downtrend. The convergence of the moving averages led to yet another sell off over the past month for the $SPX. NOW, it looks like the volume for the last week either shook out the last of the buy and holders, or the world is coming to an end. Things look like they are finally primed for some sort of rally. Short term.
Carl Swenlin from decisionpoint.com implied that the bottom will not be reached until late in 2010. RedDirt thinks he's probably right. Still yet, there will be some very good rallies between now and then and I think one of those is about to begin. Be patient, the candles have not yet confirmed this temporary bottom yet. We're looking for a hammer, morning star or bullish engulfing to tell when to get long this market!
The reason I've not posted for the last month is that I've spent the time marketing and selling my house, which we closed the deal on Friday. Also, I had to find a new JOB! My initial duties will be service sales, project management and apprentice training. I'm told I'll be wearing a few more hats besides those. But that's OK! RedDirt looks forward to the challenge.
The moving part sucked, but I'm now more organized than I've ever been. I had help on the fridge and armoire, but did the rest myself, with a lot of help from my wife!!!! During the transition I managed to make a few trades. I recently took a profit on SLV and I made some money in my currency account on a trade on the usd/jpy. Then this last Friday I opened a small position on GE.
My plan is to triple the equity from my house and build the home we want to retire in. The plan is to do this in 3 years. And, the house will be paid for the day we move in it.
Looks like I've got my work cut out for me.
I've been looking in on the MOOSE and BXcapricorn to see what they've been up to, but really haven't been able to follow too closely.
Thanks for stopping by, and good luck with your trades.
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