Take a look at the monthly SPY chart below. 2 major corrections have occurred after 2 sets of 5 years bullish trend. From the look of the monthly chart, we are now on the 3rd set of the 5 years bullish move up.
Is there some sort of “unwritten” rule here for the 5 years bullish plan? Well, the pattern is there and it is up to you to interpret it anyway you want. From my perspective, the QE3 serves as the catalyst we are all waiting for to kick this bull market to the next level. I like to see SPY takes out the high of 2007 before the year is over.
Giving this bullish scenario, I’m now 90% invested. I’ve finally bought back DDD and SSYS for my portfolio. I’m now “invested” in the following (sort by descending position size):
GLOG; AMRN; LRAD; SZYM; DDD; ES; SSYS; ATML; DNN; USU; CCJ
Most of these stocks are high beta and the rewards can be very high as well.
GLOG: we need plenty of LNG (liquified natural gas) tankers and GLOG will have brand new tankers build with optimal design for this purpose. How can business not take off when we have abundance of natural gas lying under our ground to share with the rest of the world?
AMRN: it is my opinion that this “fish oil” pill will become a popular prescription for people with high cholesterol condition. And there are plenty of people with this condition giving the diet we are eating now.
LRAD: this has been my long-term equity position for awhile and I believe this technology will eventually become the standard in law enforcement and military use.
SZYM: biotech fuels and foods. This technology speaks for itself when we are heading toward the issue of “over-population”.
DDD & SSYS: Do I need I to say more? 3D printers are the future of production because it is economical to do so.
ES, DNN, USU, CCJ: Now that Japan is rethinking nuclear power, demand will slowly climb back up. There are only so many uranium lying around and they are tough to find and mine.
ATML: This one is The Fly’s pick; so ask him. The chart looks good and the potential upside is huge compare to the risk.
Overall, I believe QE3 has created an economic environment for the stocks I mentioned above to climb higher.
Good luck to all and may all of you prosper regardless of what stocks you own. Like Mr. Partridge said, it is the right side that counts and not the stock. To me, the right stock will give you more bang for the buck!
Remember to follow the price action. I may or may not hold the above positions if price action doesn’t support the bull trend.
90 Responses to 5 years Bullish Plan?
Sold SSYS to buy more DDD. Basically, I’m shifting my 3D printers allocation to DDD only.
I thought SSYS was a good ‘tell’ for DDD?? I guess DDD is less volatile too…
SSYS is still a good tell as far as I’m concerned. Since.there is a higher probability of SSYS crashing first before DDD, I figure t can buy myself some time to get out of DDD when SSYS falls off the cliff. Hence, my shifting my 3D printer allocation to DDD.
I guess DDD is less volatile in comparison because more people know DDD as a 3D printers company to invest more than they are aware of SSYS.
Reduced position size of DDD by 2/3 since price action took out the low of the last two days. Will look to buy back at lower price if possible.
The real trigger point was that the low of the BW’s divergent bar 2 trading days ago was taking out. Taking out of that low was bearish.
There is a 79 & 89 mov-avg support around $36 which I hope to buy back shares I sold today.
Sold the remaining 1/3 position on DDD to stop the bleeding. Will look to buy back when the carnage stop.
Bought starter position on SSYS after it fell off the cliff to below $60. The high of mid-July seems to create a support for this fall. This correction may as well be a gift to buy back below $60. Time will tell.
Also bought starter position on DDD.
Bought more CCJ. Look like today is uranium day. 2 of my rockets- DNN and USU are blasting off nicely. CCJ will have to play catch-up.
Sold DNN to lock in profit. Yeap, I gave back some this morning due to gap down; but that’s the way it is.
Reduce position size on CCJ due to bad price action.
Added to DDD and SSYS since price action did not continue to collapse from yesterday carnage; but will watch closely.
I may buy back DNN if price action hold the $1.6x level.
Bought back half of my original size of DNN I sold this morning. Yeap, I paid a bit more for what I sold this morning; but that the way the ball rolled.
Added more USU.
Price action was negative all around!
Sold off everything except GLOG, AMRN, LRAD, and SZYM.
DDD break-out to the downside from the 89ma support, that is bad news so I took my losses and moved on. SSYS has not broken the 89ma yet; but DDD was my tell tale sign so I sold as well.
CCJ gap-down spoke for itself. Out it go.
Took profit on ES and USU. Don’t want to give them back.
I didn’t want to give back profit I took on DNN, so I ate my small loss on my buy-back yesterday.
ATML, took out yesterday low and out it went.
Raised cash to 45%
Will look to buy back what I sold on the cheap, hopefully.
Remember, I follow price action, not what I think unless the trade is intended for long-term from the start.
Bought back the full load of USU I sold this morning. This rocket is still flying. Yes again, I paid a bit more to buy them back.
Bought back a small starter position on DDD and SSYS.
Bought back DNN I sold this morning.
Bought back half of ES position I sold this morning.
Using SSYS as a guide post, I added to SSYS and DDD.
I’m feeling greedy, so I added more USU on the dip today.
Since I sold Fly’s ATML, I bought his OSG pick as a replacement since it formed a nice cup & handle pattern and the fact that it took out the 8-15-2012 high.
I couldn’t believe my bad grammar!
Here we go again:
Since I had sold Fly’s pick of ATML, I bought his OSG as a replacement, which, by the way, had formed a nice cup & handle pattern. I am particularly excited that OSG has taken out the high of 8-15-2012.
Now that I have bought OSG, the stock god is throwing me a possible bearish divergent bar as a way to taunt me. I do not like that at all!
I sold OSG since it had taken out the low of Friday bearish divergent bar. I took my losses and moved on.
Whoa! Am I glad I’ve added USU today. The last minutes blast-off before closing has surprised even me; even though this is the 5th largest position in my portfolio.
A bitter-sweet ending for the week even though my AMRN position is under fire. Nevertheless, I’m not too worry about the volatility because any “positive” news may happen any day. Yes, I’m betting there is positive news. I certainly hope so!
Have a good weekend!
Added DDD & SSYS because they both were forming a bullish divergent bar in the morning.
Also added a bit more USU this morning on the dip.
Still holding AMRN despite the slaughtering… like I said, I’m holding AMRN for the possible coming out party and not for the price action. Yes, it is a big gamble on my part.
Added to DDD & SSYS this morning. They are now the 4th & 5th largest position in my portfolio.
Currently 90% invested.
Live to fight another day!
Sold ALL DDD, SSYS, DNN, ES, for losses.
Sold half of USU for losses.
Still holding GLOG, AMRN, LRAD, and half of USU.
Raised cash to 50%
Maybe it is a mistake to sell for losses and maybe not; but I have to protect my asset in the face of a possible slide.
How do I get over my inertia to dump? Easy, I just think of buying them back cheap! Maybe I will and maybe I won’t; but thinking it helps me dump my losers and take my losses.
Good luck to all.
Forgot to mention that I also dumped all SZYM for losses as well.
Sold the rest of my USU.
Raised cash to 54%.
Ouch! My YTD gain dropped to 16%.
But then, nothing venture nothing gain. But protecting my asset must come first!
Reduced position size on GLOG by 75% to lock in profit. Will buy back at lower price if I can!
Cash position is now 67%.
Holding only AMRN, LRAD, and 1/3 position size on GLOG.
Sold the rest of my GLOG to lock in profit. Will look to buy them back later, hopefully at lower price.
Now only holding AMRN and LRAD.
Now holding 72% cash.
Added back GLOG, SSYS, DDD, USU, and CCJ.
Now holding (in descending position size):
AMRN; LRAD; GLOG; SSYS; DDD; USU; CCJ
Holding 35% cash
Of course, this is always a temporary position. I will be dumping again if price starts to do a waterfall dance…
Dumped my CCJ, DDD & SSYS position I had bought this morning for small losses. The 3D sector trend is down and I’m not going to fight it. CCJ took out 8-3 low and I should have known better!
Now holding only LRAD AMRN GLOG USU and ZGNX
Bought back a small starter position on DDD & SSYS.
LRAD has launched from the landing patch and let’s see where it will go.
USU is back on track and holding above my average 0.77 cost basis.
AMRN is on recovering mode right now; but I still have high hope for this one. No, I’m not worry about the draw down I’ve witnessed this week.
Currently holding 40% cash.
Dumped my starter position on DDD & SSYS for tiny losses.
Now holding only AMRN LRAD GLOG , USU & 48% cash.
Forgot to mention I also dumped ZGNX this morning for losses as well.
Bought DDD ,SSYS, RIMM, & SZYM. Now 77% invested.
Current position in descending position size:
AMRN, LRAD, GLOG, USU, SSYS, DDD, RIMM, SZYM
Added more DDD & SSYS. Also bought DNN and ES.
Currently 86% invested
Sold DDD, SSYS, DNN, & ES I bought this morning with small losses. My gain from DDD offset the losses from SSYS; basically reduced my losses to a tiny factor.
Cash is now 35%.
Bought back DDD & SSYS. Price action seems to be turning around for the 3D sector…
Sold DDD, SSYS, & RIMM to lock in profit. Will look to buy back at lower price if I can.
Currently 48% cash.
Sold all SZYM to cut losses.
Currently holding only
AMRN, LRAD, GLOG, & USU.
Bought back a boat load of RIMM.
Also bought back DDD & SSYS and some SZYM.
And yes, I’m going thru pretty drastic draw down on AMRN; but you must understand that big win doesn’t come easy. Like I said, AMRN is a gamble but the verdict is far from over!
Added SSYS & SZYM.
Forgot to mention I bought DCTH yesterday.
Current position in descending position size:
AMRN; LRAD; GLOG; RIMM; SZYM; USU; SSYS; DDD; CCJ; DCTH
Holding 16% cash.
Dumped DDD, SSYS, and SZYM to cut losses. Price actions for 3D sector exhibit topping patterns and SZYM was a sorry chart and I couldn’t believe I added more this morning!
Gain on my SSYS reduced losses on DDD.
Sold CCJ for small losses.
Now holding only:
AMRN; LRAD; GLOG; RIMM; USU; DCTH; and 37% cash.
Sold RIMM for small losses.
Bought back 60% of RIMM I sold this morning at a higher price since price action looked strong.
Out of RIMM again @ breakeven from my re-entry point this morning.
Now holding only:
AMRN; LRAD: GLOG; USU; DCTH and 46% cash.
From this point, market can correct as much as it wants to; I’ll be looking to buy back some stocks at cheaper price with my 46% cash.
Bought DDD & SSYS.
Nibbling on SZYM
Yeah, yeah, I’m getting slaughtered by AMRN because some analysts are trying to cover their asses and the NCE decision is being delayed yet again.
I prefer to think of it this way, FDA only delays the NCE decision, it has not denied it. That is to me, reading b/w the lines, good news!
The fact of the matter is that this is still a waiting game for a gambling bet; therefore it doesn’t bother me that price is way below my basis since I’ve no plan to cash out anyway until I hear a buyout (or not).
Meanwhile, despite DJ being down 127 points, DDD & SSYS price action are holding well. Don’t you think? A strong support for the 3D printing sector like today may be a sign of a bottom. Let’s see how the day end.
Bought a starter position on RIMM.
You may wonder why I like RIMM. It’s simple, regardless of their current predicament on being too slow to react on the smartphone sector; RIMM’s Blackberry brand cannot be discarded so easily. They may have a “chance” to redeem themselves with their Blackberry 10 OS. Did anyone bother to go to youtube.com to check out the BB 10 demo? I think they have something that will definitely generate interest in the corporate world.
My take is that RIMM will come back the same way AAPL has come back from their near death.
Dumped RIMM @ breakeven.
Overall market doesn’t look like it is making it on the positive side; therefore, I’ve no choice but to dump my RIMM I bought this morning at breakeven. I’ll look to buy it back another time when overall market condition is better.
Sold DDD & SSYS to lock in profit before giving it all back. Price action was not encouraging with SSYS. I may buy back DDD if price action hold on to its gain for the day.
Bought back 3/4 position of what I sold on DDD & SSYS. Their price action seems to be holding well for the day.
Sold SZYM for small losses.
Now holding only:
LRAD AMRN GLOG USU DCTH
in descending position size.
Holding 46% cash
Sold DCTH at breakeven. In other words, I gave back all the paper gain. The gamble was a draw. Sell on news instead of gap up was the case.
Sold DDD & SSYS to lock in gain. Will look to buy back at lower price if possible.
Bought SZYM, CCJ, & DNN.
Now holding AMRN LRAD GLOG USU SZYM CCJ DNN and 35% cash.
Yeap, I missed out on DDD & SSYS ’cause I was busy with something else yesterday after I got out and decided against chasing it.
Added UCO and DCTH before the bell.
Now holding AMRN LRAD GLOG USU SZYM CCJ UCO DNN DCTH and 32% cash.
Sold DCTH and UCO; bought RIMM.
Now holding AMRN GLOG LRAD USU SZYM RIMM CCJ DNN and 30% cash
Dumped RIMM @ breakeven. I’ll only hold RIMM if momentum continues up; it is definitely not a buy & hold like my other plays.
Since RIMM is making an effort to come back to $8 (or close to it); I’m back in.
Sold RIMM, CCJ, & DNN to cut losses and lock in profit.
Now holding AMRN GLOG LRAD SZYM USU and 42% cash.
Sold my GLOG position to lock in profit. Today big down day was larger than average; I would look to buy back at lower price if I could.
Sold my SZYM position for small losses. This one would tank hard in a down market; better be safe than be sorry.
Current positions are:
AMRN LRAD USU and 63% cash.
Bought back half of GLOG I sold this morning.
Bought starter position on DDD, SSYS, and SZYM.
Playing catching the falling knives with close stops.
My bet is that we will bounce hard on Monday (or not).
Sold DDD, SSYS to lock in profit.
Sold GLOG & SZYM to take small losses.
Now holding only AMRN LRAD USU and 63% cash.
Look like the bear is still in charge this morning in a general sense; therefore better be safe than sorry by holding more cash.
Bought back DDD & SSYS starter position.
Believe it or not, I bought myself some AAPL at the close.
Sold DDD, SSYS, AAPL for small losses at the open.
Now holding only:
AMRN LRAD USU and 63% cash.
Double my CPRX position size from this morning.
AMRN LRAD USU CPRX and 58% cash.
Bought DDD SSYS RIMM SZYM
DDD beats earning simply confirm the inevitably 3D printing technology. I will only go up from here.
RIMM has an article today that confirms that it has the lowest cost of maintaining enterprise security; so my bet is that the corporate world will continue to use the Blackberry when BB 10 comes out.
Sold CPRX for tiny losses. I don’t like delay in trial result.
Sold RIMM to lock in tiny profit and further downdraft due to general market condition.
Now holding only AMRN LRAD USU DDD SSYS SZYM
I’m only holding very small position on SZYM so I’m not worry about the continued downdraft. It is there to remind me to pick more up when the trend change.
Sold DDD & SSYS to lock in profit.
Now holding only AMRN LRAD USU SZYM (small position) & 60% cash.
Bought starter position in RIMM due to bullish divergent & price action.
Bought more RIMM due to strong bullish price action.
Loaded up on RIMM.
Bought starter position on GLOG & SSYS
Now holding AMRN LRAD RIMM USU SSYS SZYM GLOG & 47% cash
Added more GLOG this morning.
Sold SSYS for tiny losses. Didn’t want to hold for earning release today.
Now holding AMRN LRAD RIMM USU GLOG SZYM & 44% cash.
Sold RIMM to lock in profit. Will look to buy back.
Sold SZYM to small losses.
Now holding AMRN LRAD GLOG USU & 54% cash.
Sold GLOG for losses to raise cash.
Now holding only AMRN LRAD USU & 63% cash.
Bought starter position on DDD SSYS
Bought starter position on SZYM (catching falling knife trade with close stop)
Now holding AMRN LRAD USU RIMM SZYM DDD SSYS & 49% cash.
Sold DDD SSYS for losses.
Sold RIMM for breakeven.
Bought GLOG yesterday.
Now holding AMRN LRAD USU GLOG SZYM & 55% cash
Sold GLOG for losses.
Sold SZYM for small gain.
Now holding AMRN LRAD USU & 64% cash.
Bought DDD SSYS
Bought starter position RIMM
Now holding AMRN LRAD USU DDD SSYS RIMM & 53% cash
Stopped out of RIMM at breakeven.
Sold DDD & SSYS to lock in profit. It looks like the selling in the general market is not over yet with AAPL as a tell tale sign.
Bought starter position on DDD this morning below $41; otherwise, I’m doing nothing except to wait for the fiscal cliff to wreak havoc on the market.
I’ve a breakeven stop on DDD son if it tanks again, I’ll be fine.
Holding only AMRN LRAD USU DDD & 61% cash.