For the next few moments; put aside the noises of economy and simply look at the charts below:

Below are two weekly charts; one Dow and one SPY.

The Dow mid-week green bar is a little tepid but green nevertheless.  Giving the volume is quite low so far, we are still waiting for the final verdict of the big money.  Will they make the move Thursday and Friday?

The SPY mid-week bar, however, shows a green bar with more range.  Since the SPY mirrors the S&P500; wouldn’t that mean there are more stocks with strong upswing to back up this green bar?

Let’s see where Thursday & Friday will take us.

Good Hunting!

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Trading journal update:

Bought starter position on SYNA.  Chart looks promising and will add more if it takes out 6/7  high.

– SYNA turned out to be a nice capture.  Initially, it put up a good fight which gave me a moment of doubt.  Good thing I fought on and locked them in my book.  I’m surprised at the resiliency of SYNA’s ability to hold the price above $29 despite the Dow being down 70+ points.  I like the fundamental of this company due to its compatibility and ability to enhance the coming MS Windows 8 operating systems.   I don’t know if SYNA will be included in the coming MS Surface PC tablet but if it does, expect to see a “PoP” in price action.  I’m very happy to have captured SYNA today!

Bought USEG.  Chart looks good and I like the hidden value in Mt. Emmons they own.

I added back DDD & SSYS due to DDD’s ability to withstand a sell-off.  SSYS is a sympathy and a “catch the falling knife” play.  Will re-evaluate position based on tomorrow price action.

Current position: AMRN DDD DNN MCP SSYS SYNA URRE USEG USU (18% 22% 24% 35%) plus 27% long-term portfolio.

Sitting on 55% 51% 38% cash.

“What about Fed meeting?  Ain’t you worry about no QE3 and thus tanking the market?”

“What are you talking about?  Isn’t that a ‘What if’ scenario? Price action looks good on these positions I’ve and that is all I care for now!  Believe it or not, my portfolio actually is up today!”

Good Hunting!

 

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Daily trading journal update:

Sold the following for profit or breakeven:

CCJ CHK DDD LMLP NUAN SSYS

Add or increase position size today:

DNN MCP URRE USU

Remaining positions:

AMRN DNN MCP URRE USU (together is 12%) plus my other 25% long-term holding

Currently 37% invested and 63% cash

Good Hunting!

 

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If you look at the 5 minutes chart below; what do you see?  An up or down trend?

Needless to day, I bought back some CHK and NUAN that I sold this morning as well.  In addition, I also added to SSYS and DDD.

Current positions:

AMRN CCJ CHK DDD DNN LMLP NUAN SSYS USU (now back to 55% invested and 45% cash)

Good Hunting!

 

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Come on now, you guys!  For all intent and purpose, just because we did not have a roaring positive green daily bar at the open doesn’t mean the upward momentum is over.  Let’s the price action speak first.  Yes, we opened down and I sold some to reduce exposure in case the selling continued unabated.  But it did not continue unabated; instead the Dow was only down 0.29% (as I’m typing this post).  This price action is far from the King yelling “Retrieve!”

No!  The King is simply bellowing “Not so fast!” 

If you look at the weekly Dow Jones bar as of now, you will see that it still has a bullish outlook.

I bought back DNN and CCJ (both as a slightly higher price than I sold this morning)

Now I’m 45% invested and 55% cash.

Remember, we can all come up with deep analysis of WHY the market should go down (or up) with strong logical support for our thesis; but ultimately, it is the price action that speak louder than what we think.

We think LOGICALLY; but market moves IRRATIONALLY.

And since we are trading the market; what information is better than the price action itself???

Follow the King and follow him tight; otherwise, the King cannot save you because you decided you are the smarter ones.

Btw, for those who invested deeply into their analysis; I know you are wishing the price action to adhere to your logical conclusion; but that would be like “wishing” your significant one to obey your every command.  Now, you know that is literally quite impossible!  Ok, ok..  Perhaps, some of the time; but not all the time. (grin)

Good Hunting!

For those who don’t know yet; in my book, King = Price action

 

 

 

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Unbelievable!  If I have not seen it myself, I would not believe it!

I’ve been following uranium for years but due to the downdraft early in the year, I completely sold out all shape and form of uranium stocks.  Remember, it doesn’t matter if I like something, I MUST follow my KING (price action) and protect myself.  One of the super high-beta uranium stock I like is USU.  From 2011 to now, USU has been on a dead spiral and as far as I was concerned, it was marked for death due to starvation and uranium exposure.

Then 3 days ago (on Wednesday this week), Uncle Sam decided that USU must be saved!  In a quick and efficient manner that is a rare sight these days, financial fuel was forced feed on USU and the poor guy just bounced back from near death!  Whoa!  My baby is alive!

What do you think?  Of course, I “nibbled” my way back in USU.  However, in order for this baby to grow up to become a giant it was designed to be; more financial fuel has to be available.  USU needs that 2 billions loan guarantee from Uncle Sam and you know how the political situation is in DC.  You will think that someone who opposed the funding of USU is thinking that a mutant is being created…

Anyway, I’m in for this high-beta kick ass risk-explosion bet.  Yes, I only buy enough so that when this little mutant blow up by accident, I will probably only lose a finger…

Good Hunting!

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Has anybody seen a snail lately?  Or do you remember how the snail move?  Slowly and ever  s l o w l y . . .

I figure I’ll try this method today.  Here is how it works.  You buy s-l-o-w-l-y than your normal “Get me fill already!  More, more, and more!”

Patiently, I waited for DDD to retrace after the morning rush hour run to the high of $29.76; and retraced it did.  Then I started to nibble my way back in at the low $29ish.  For the lord of me; I don’t understand why price will go up when the secondary offering is for $27.  But this academic debate is not something I want to dwell into since price action is the King and I need to follow my King.

Well, I’m all for taking along the siblings when I take my date out; it goes to build good relationship with your significant one.  So, without question, I nibbled on SSYS as well.

Next, since I pass a lot of gas, I love to own some gas.  So I nibbled on CHK. CHK chart looks exactly like what a snail will move- ever  s l o w l y  upward.

When it comes to my cholesterol level, I’ve no choice but to be optimistic about AMRN which should be getting a response from FDA soon regarding approval.  Call me naive, but I do want AMRN to succeed and its magical fish oil to be as valid as “an apple a day to keep the doctor away”.  Since I value my organ dearly, especially my liver, I’m not very keen at all to take those statin family of drug.   For the good of health, I nibbled on AMRN.

NUAN was my first baby-boomer.  I bought it when it was still under Scansoft name and under $5.  However, I sold too soon back then.  Now that the Fly bought some, it brought back old memory and the chart looks like a breakout.  Got to buy some for old memory sake.

Since I bought USU (see my other post); I started looking at CCJ and DNN.  CCJ looks good for a breakout play.  And DNN looks good for a bottom fishing since it is basing at $1.41 level.  Needless to say, I bought starter position for both.

SZYM looked like it is holding strong at current level ($12.30) for the last 4 days, so I bought back a starter position to see if there is a breakout next week.  Will buy more if it does.

So far, the field looks green and this snail is looking good and happy as a clam can be.  S l o w l y  it moves on and on.

Currently 40% 55% invested and 60% 45% cash.

Good Hunting!

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This is quite an exhilarating week.  If there is ever an epic tug-of-war b/w the bull and bear, this is it.  There is no clear winner here yet.  Monday, the bear pulled back an inch to their side that they lost last Friday and the short sellers piled up for the final tug.  But it wasn’t to be; Tuesday came and the bull won back their inch and the short-haters piled up for the final tug.  Nope, it wasn’t to be either!  Wednesday came, the bear snorted some cocaine and yanked back the inch; but something changed, the bear idols began to think twice about piling up.  Somehow in some way, trader Joe is getting a bit smarter now.  The smart play seemed to be to bet for the yo-yo action.  Thursday, which is today, the bull snorted twice the cocaine the bear took yesterday and gained back an inch plus some.

Viola! The yo-yo action is confirmed!  The wager is that tomorrow, the bear will win back the inch.  Before the bull starts “yelping” on how the buying frenzy in the last moment of today close will surely carry the ball to the bull court tomorrow, don’t discount the same force of selling frenzy before the weekend vote.

For crying out loud, this back and forth is getting tiresome already.  Did you see the gruesome faces of the bull pullers as well as the bear’s.  All these pulling is taking a toll.

Now, can someone PLEASE throw a banana peel into the midst to see which side is gonna step on it?

It will be much more fun to watch the eventual “Whoosh” and see one side slams into the others and create smoke of sand so big that no one can see what is really happening.

Quick! Quick!  Check your broker account to see which way it goes; shrink or a full “woody”?

Sorry, since I didn’t trade today but close out my shorts in the morning; I’ve nothing to post but some meaningless babbles…

Still sitting on 73% cash.

Good Hunting!

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I thought I heard something; but then it could be my imagination.  Just for fun so that I will only get an itch if I’m wrong again.  Again!  I bought a very small starter position on TVIX, TZA, and SKF.

If a cloud falls off the sky tomorrow, I will add more.  If more clouds disappeared, I will add even more.

And if market open gap up tomorrow (no surprise here), I will just scratch my sore and be done with it.

In a way, this yo-yo market can be kind of fun if you can be quick about it.

Good Hunting!

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Yesterday, I bought DDD as part of my portfolio build-up betting that the market will continue upward.  Nevertheless, by the end of the yesterday, DDD released news that they will do a secondary offering of $100 million.   While this amount can be “argued” to be relatively small compared to their market cap; a dilution is a dilution no matter how you look at it.  Sometimes you have to look at the reason why there is even a need for dilution at all.

Thus, for those who doesn’t want to cut the loss quickly (or to acknowledge that they may be wrong), they can argue that the secondary offering amount of $100 million is not enough to be worrisome.  So they continue to hold.

Meanwhile, I learned long ago that it is not worth the effort to rationalize away the bad news.  Whether the price action can recover from the bad news is not something I want to entertain myself with while I’m holding the position.  I just want to get the fuck out of the position as soon as possible.  I put a market order to sell at the open and got filled $1 below my entry point.  I’m actually very happy with my fill.  And even more happier now because DDD price has gone down to $3.25 against my entry point as I’m typing this post.

That additional $2.25 per share against me would have hurt my pocketbook quite a bit since I bought in size.

It is from numerous times of seeing how cutting my losses quickly saved my day (like today with DDD) that it becomes very easy for me to develop the habit of cutting losses.  Yes, there will be times that after I cut my losses, the stock will go back up forcing me to pay a higher price to get back in.  But in the long run, I still come out ahead because these small gap of paying higher price to jump back in is insignificant compared to the gigantic losses of not cutting your losses quickly.

Good Hunting!

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