Tips: Stock Trading Tips
NASDAQ:
NASDAQ: 5:17 pm tuesday july 18, 2000
As mentioned previously and I do hope you guys believed me when I said when NASDAQ was around 3200-3300 that the market has to come back to 4000-4500 level before going further down. I guess we are there. Don't buy anything new. Keep selling. Sooner or later around this level, the sell-off would start and when you realize, the NASDAQ would be around 3600 or so. Just play safe.
NASDAQ: 12:23 pm thursday august 3, 2000
NASDAQ Opened at 3580 today and going up today. NASDAQ is turning up from today. Make money upward. the immediate target is 4000 plusNASDAQ: 1:58 pm thursday august 3, 2000
NASDAQ has perfect Gangotri. Be bullish. Today it opened a way down at 3580 or so but closed at 3755. Volume was also strong. A perfect Gangotri. (Want to know what is Gangotri? Look at my stock Lessons.) boldStop-loss 3525. Target: 4200 /bold Good luck.NASDAQ: 10:27 am saturday november 11, 2000
Hats off to Gangotri!!! From the 3755 level on the day of this message sometime in August 2000, the NASDAQ touched 4259 on Setp 1 as per target of 4200. This was the top and since then the market is down to 3030 today. If you still don't learn Gangotri, you are missing a lot.
DOW JONES:
11:19 am thursday july 27, 2000
Dow Jones, currently at 10580, is ready for one way movement. The bias is more upward than downward. STOPLOSS for Bulls: 10350. Enjoy DOW JONES.4:23 pm tuesday september 26, 2000
The Dow Jones gave a good uptrend of about 900 plus points from that level in a short span and touched almost 11500 plus. Wasn't it a good comment for the index which was stuck in sideways for long time? What now? Immediate: It is back to 10630 or so today. Now 10500 has to support the prices to keep every american in pink. If it closes below it, 10200 is another level which should try to stop the slide. If both levels are broken (it is very likely that they would be broken), where should DOW take you to? 9600 would be immediate target which after a temporory respite could ultimately take the dow under 9000. Medium Term: Under 9600, I would resist all temptations to BUY CHEAP and would feel comfortable only around 7500-7800 level. Any takers???AMZN
11:24 am thursday july 27, 2000
If you always liked AMZN, give it a shot at the current rate of 31 dollars. (Don't hang on for long term)3:32 pm monday august 21, 2000
AMZN is close to 40 today. 25% return. I would be satisfied looking at everyone's concerns about AMZN..Also this much return is fine in bear market rallies.THCG:
11:31 am thursday july 27, 2000(I was wrong here.)
Try them cheap. THCG 5 1/16. Good Technically. ZIPL: Chart is getting better.
GSPN (115): Has broken the support line. Bias is more downward. 135 is a strong resistance level and an opportunity to book profit.
JNIC (41): At a good support level
BVF(60): Stay away from buying. Bias is downward.
PDYN (27): Has a good reversal few days back. Current outlook is up.On August 1, 2000. JNIC (41): At a good support level
On August 1, 2000.GSPN (115): Has broken the support line. Bias is more downward. 135 is a strong resistance level and an opportunity to book profit.
10:13 am monday august 7, 2000
Dilip, BVF has opened with GAP today and it is more of the upward breakout. Technically its bias has changed from downward to upward. This is a strong trading signal to go long. Not only this stock, most of the technology stocks have given a very strong reversal on thursday. I posted my message on the same day..Look under "NASDAQ. Trend is up"
JNIC: it was a good support level. It is uncertain to say whether it will cross 62. However, it looks like the upward trend is continuing. The litmus test is level of 60-62. If it crosses and closes above that level, it will go to new highs (75-80 level). Let me know when it is around 55 level. We'll see where it is heading.. MNMD: Today after opening high..it is running low. This is a little concern. However the stock has definately broken its downward trendline. Definately good above 143.
05/24/00 Buy QCOM (closing 77). Today touched 70. A failed bear GAP with heavy volume. After-markets higher.
If there is upward GAP tomorrow, there would be the same signal like the one we had in Broadcom few months back. (learn it?) Take a chance to mint money.( 05/25/00 Update:The upward GAP didn't happen. Instead there was large scale profit booking/distress selling in QCOM. Keep limit orders for a week to buy 5/10 July 70 call Options at 3.25$. Immediate target is 61.5$. Do take this risk and a chance to make a good deal of money. (Update:QCOM made a bottom of 60$ as compared to 61.5 and is now at 80$..)
Based on today's close of 60$ for EBAY, keep away from it. Think of it only above 67.5$. Keep limits to buy Microsoft(62) at 55 dollars.)
Buy IBM (close 109): Semi-strong Gangotri. Immediate target is 128$. Stoploss 104. NASDAQ (3260):If it closes above 3360 tomorrow, it would be a 2 day gangotri that would take it to 3800+ (before it goes below 3040). Watch tomorrow, if it does not close above 3360, ignore these two stupid lines.(05/25/00 Update: As was said,'ignore these two stupid lines' as NASDAQ failed to close above 3360 today (instead it closed at 3205)05/21/00. Be Cautious: Buy technology stocks above 3300 level or wait for 2700 level. NASDAQ closed at 3365 on Friday 05/19. If it closes below 3300 with heavy volume (1.5b plus) within next few days, it could possibly touch 2500-2700 level very quickly, similar to the drop it had from 4200 to 3400.. Looks like a classical formation of inverted pennant (more like a flag) lower volume... Be cautious.
05/15/00. Dell has upward breakout. Buy at current rate of 50 dollars. Stoploss: 44. Target new high..
MSFT: Buy at current rate(68). 65 a very strong support. If it goes below it, average once only at 56. Book profit at 88.04/15/00: BUY CALL OPTIONS ON ANY OF THE HARD HIT TECH STOCK. PLAY VEGAS STYLE PREFERABLY ON MONDAY MORNING TOMORROW. NASDAQ 3300 LEVEL. (04/21/00. This was a perfect call. Nasdaq touched a low of 3250 on that Monday morning, reversed the trend and then touched 3850 on the following Friday) Technology stocks have corrected enough. Any further dip should be taken as an opportunity to buy CALL options. NASDAQ though it very much seems that it has reversed its long-term uptrend, it must come to the range of 4000-4800 once within next 3/4 months before further continuing its fall. When the above range is attained, play safe and sell most of your holding. (Click here to read an email that I sent on 10/12/99 with reference to how markets behaved in last six months)
Recommended positions: 1000 dollars would buy you 40-50 call options(May Strike 5) on IOM(stock 3 13/16, this option, 1/8,1/4) or BUY Aug, 5 calls at 50 cents. The results have beaten analysts expectations. Volume is high and stock steady when the whole tech stock is taking nosedive. Worth playing.
Buy call options also on MO. Most tech stocks at Friday's closing are at or very near to long-term support line.04/03/00: Buy lots of Put options on AMZN(Stock price 63plus). AMZN is very likely to have a free fall to 40s. Take a calculated risk of 2 dollars and buy Puts at strike price of 60 dollars. Buy around 25 contracts or its multiples. (Justification: a very rare Head and double shoulders pattern which is further strengthened by lackluster trading volume and activities). (Update: 04/15/00. Chart has again proved its value. The stock touched 41 dollars on 04/12/00.Who ever read this clear signal, must have multiplied money ny 5 to 10 times in less than 2 weeks)
03/20/00: Buy following stocks: MO Phillip Morris: Is at 20$. A rare opportunity to buy a good company for a long-term at once in a decade rate. Invest heavily at every decline. (05/15/00...a dull stock..though overall market is down, MO is up..27 plus) See chart below.
IDC: I don't know what the full name is. Great for young, speculative minds. Take a calculated plunge at the current rate of 28 dollars. Risk 5/8 dollars for a profit of 15 to 24 dollars. LOST. I was WRONG
JCP: You won't lose any money at this rate of around 15 dollars. Great on charts. Risk 3 dollars for 15 dollars profit. (05/15/00. It closed 19 plus today...)03/20/00: Buy following stocks: MO Phillip Morris: Is at 20$. A rare opportunity to buy a good company for a long-term at once in a decade rate. Invest heavily at every decline. (05/15/00...a dull stock..though overall market is down, MO is up..27 plus)
02/18/00. NASDAQ is giving repeated signals of trend reversal. Today it opened at all time high 4565 or so but closed much lower. One more Gangotri...an evidence of large scale profit taking at this level. Beware.
01/24/00. Get the hell out of technology stocks. The bears have shown a very clear signal of victory. It is week's opening day, 2000 million plus shares volume, and my favorite Gangotri......With a 90% confidence, today's opening of NASDAQ 4290 is a strong wall for next few months, may be who knows next few years........ Get a divorce out of technology and flirt elsewhere....Stoploss 4350.
01/22/00. Buy NTOP strictly with a stoploss.. 11:30AM Pacific. BUY OPTIONS. The best play is net2phone in the market place. This horse/donkey is going to go one way very soon and it will determine where it is a horse or a donkey, an interNET(glamorous) or a PHONE (utility- less glamorous) stock... Bias is upward and any GAP upward is a sign to take the stock to 3 digits soon. Stop your losses between 45-48. Best stock to buy options depending on your view on the stock.
Our shorts were a great pay-off. Cover your shorts on Yahoo (profit 450 - 350 = 100 dollars) and AOL (Profit 83 - 60 =23). You may get out of IOM now to reenter at 3 3/4 for timebeing, though medium term trend is still upward.
01/17/00. Buy DIR, EGRP. 11:30PM Pacific. BUY. Buy DIR (DLJ online?) at the Friday's closing price of 13 1/2. Stoploss: 12 dollars. Target at least 20. Buy EGRP around 28 dollars. Keep a stoploss at 25/22. Target around 40 dollars.
01/05/00. Buy K Mart, JCPenny, PLC, BKS, 11:30PM Pacific.
BUY. Buy K Mart at 9 5/8 today. Stoploss 8 3/8. Target 50% return.
JCpenny at 20 Dollars, Stoploss 18$. Target 50% return.
Buy PLC (just a fluke) at 2 $, stoploss 1 1/2. Target 100% return.
Buy BKS, Barnes and Noble, at 19, stoploss 16. Target 30..
Short also. Take an opportunity and sell Yahoo around 450-470. Stoploss 510.25. Target atleast 300.
Go short on AOL at around 83. Target 40s. Stoploss 95.12/27/99. NASDAQ. 9
:30AM Pacific (NASDAQ 4000) Today NASDAQ has opened at 4001.90, and is currently at 3903.59. The opening is at all time high and today it is likely to be the end of the current uptrend of the technology stocks that make up NASDAQ. (90% confidence). (It is Gangotri, provided it closes below 3965 which seems very likely.) ACTION: Close all of your Long positions. You can open short positions with a stoploss on NASDAQ at 4020.01.UPDATE: The market did rebound towards close on that day and closed higher. Hence there was no Gangotri. However on 12/30/1999, there was a DIVE signal, (half of Gangotri) bearish counterpart of KICK that we applied to AOL in our STOCK MARKET LESSON 3.10/12/1999 2:01 PM. NASDAQ. Possibility of a sharp uptrend.. NASDAQ has another Gangotri today. Around this 2900 level, this is the third Gangotri within last one month. It confirms continued profit taking at this level and on the other hand, the market is coming back to this level again and again confirming the bulls have not given up either. The criticality of the war is further evidenced by lack of higher volume with each attempt to take market to higher level.
What happens in such situation? If bulls win, the uptrend is irrational, unthinkable and crazy (like the one that was there in India in Harshad Mehta time). It is nothing but squeezing out the bears and that causes the prices to skyrocket (gold is a nice example to describe such situation). All great bull markets, in their last phase, usually get crazy. (See US markets in 1929 (pre-depression), early 1987, Japanese markets in late 80s when Nikkei touched 40000, Indian markets in 1992). If you agree with me so far in this email, read this very carefully: go back and see what happened in all those instances listed above. The bear markets that followed were devastating, unthinkable. So for some reasons if you are still bullish on US markets, you may have all that joy and money if the history is repeated again. But if you miss to sell everything you have at that point, you would have great memories (but little money and tons of regrets) for atleast five years.
I may often sound like a bear just because I am a strong believer in "Values" and I always attempt to figure out REWARDS Vs RISK. (I am not a bear either. I have given you guys very timely buy signals when NASDAQ has bottomed out and also in case of many stocks...) I am just extra cautious.
