Very strange day for me today. Normally, I will be buying TZA giving the downdraft; but after making only lunch money even when I was “right” the last couple of time, the effort is just not worth the trouble. Instead I try to see if there is any support for the SPY to halt the correction any time soon and I think I see something.
Forgive me for being creative in my liberated use of the pitchfork. I think you are limiting yourself by focusing only on the “proper” way to use anything. Anyway, the white pitchfork helped me identify the range of support giving past price consolidating area. Thus, from the daily SPY chart below, I’m seeing support in the $140ish area.
Based on my “personal” analysis of the chart, I’m brushing off today correction as a temporary dip against the raging bull. So what do you do when you believe the bull is still waiting to gore the short? You buy something that is going up.
So, as a long-time biotech speculator, I see some bio-babies are brimming to grow up fast. So, I added to my AMRN and bought ALXA and THLD. All three show a detached indifference to the current correction by either going higher or just staying put.
Noticeably, another one I like that show the strong underlying “bull-current” is the uranium stock CCJ. Despite DOW going down 100 pts, CCJ is still up for the day. Somehow, uranium based stocks are getting back into the consciousness of the big money and I believe they are ready to run when this correction is over. As a result, I bought back DNN, ES, and URG I sold this week.
Below are some more charts for my future reference:
Below is the AMRN daily chart:
Below is the daily ALXA chart:
Below is the daily CCJ chart:
Currently, I’m 55% invested with 45% cash.
Good Hunting!
If you enjoy the content at iBankCoin, please follow us on Twitter
Agreud with the Cameco CCJ call. But then again I’ve been saying that for a while now and holding long to no avail since @Mr_Cain_Thaler made the call
http://ibankcoin.com/mr_cain_thaler/2012/05/15/im-quietly-watching-cameco-corner-the-uranium-market/
Hello Heisenberg, it is good to know that Mr. Cain_Thaler made the call back in mid-May. Since I focused mostly on the chart, I believe we are at the point where price is ready to move up.
If you look carefully at the daily CCJ chart I posted, you can see the formation of a cup & handle chart pattern. Did you see how the cup resemble the Aladdin Mantle Oil Lamps? LOL! Perhaps we will get an Aladdin magic carpet lift? If you are already in, hang tight ’cause I think your patience is being rewarded. Good Luck to us!
sure hope so!! I’m playing it long on the Canadian market (CCO.TO) and was a past fav of mine during the uranium boom circa 2004-2008;held it thru 2 splits and made off like a bandit!!
Whoa there! You do remind me of Mr. Patrick! Look like you are doing VERY well on your long term hold on CCJ and AAPL. Congratulation! 🙂
Ooop, I misspelled Mr. Partridge above.
Trading journal update:
Added more THLD
Added more CCJ
Bought CLDX due to taking out yesterday high
Trading journal update:
Reduced position size on CCJ by 3/4 to cut losses. Will look to buy back if setup is there.
Completely closed out all my uranium position (CCJ, DNN, ES, and URG) since CCJ was a sell signal based on BW’s bearish divergent bar.
Losses from uranium is more than offset by gain from other position though.
Bought more RIMM since it took out yesterday high.
Cash position is now 40%
Correction: RIMM (since it took out Friday high or previous bar high).