Optimal buying window for AP is when it forms a higher trough.
Monday, January 17, 2011
Aboitiz Power Corp. (AP)
This is the reason why I am still a little skeptical with AP:
Optimal buying window for AP is when it forms a higher trough.
Optimal buying window for AP is when it forms a higher trough.
Basura Plays
The main reason why I fail every time I buy third liners is because I don't know how to trade them properly. From the previous trades that I did, I would usually put up the same size of a position the same way I put in blues and second liners. I also put up the same stop loss point. With the erratic behavior of third liners, my stop always gets hit. I am out of the trade and then stock resumes its movement.
Now to solve my problem, I decided to put up a relative small position in third liners when trading with the same amount of capital at risk.
Position sizing is probably the answer to properly gamble on illiquid stocks.
*Word of caution: I am just trying out this idea and I have no idea if this will work. Please always do your own research before taking up positions. Caveat.
**Currently using the crudest form of technical analysis: Trend lines. No other technical indicator is being used as I find them highly unreliable when day/momentum trading. RSI and MACD bearish/bullish divergences doesn't seem to work in intraday charts as they would work on a daily chart.
(If you have better ideas on how to trade this kind of issues, please let me know, it will be greatly appreciated.)
Okay, moving on, using intraday charts to trade:
APC: Breaking out at .89 should be a buy.
ELI: Consolidating at its high. Range of consolidation is at 0.79 to 0.82.
Buy at 0.79. Buy on breakout(Resistance 0.82). Buy on pull back/bounce to/from resistance at 0.82.
SINO: Broke out of trading range 0.38-0.43. Currently heading for correction and looking to test 0.43. Buy the bounce from 0.43.
SUN: Possibly forming a symmetrical triangle. Buy at 0.58 for anticipation breakout.
Now to solve my problem, I decided to put up a relative small position in third liners when trading with the same amount of capital at risk.
Position sizing is probably the answer to properly gamble on illiquid stocks.
*Word of caution: I am just trying out this idea and I have no idea if this will work. Please always do your own research before taking up positions. Caveat.
**Currently using the crudest form of technical analysis: Trend lines. No other technical indicator is being used as I find them highly unreliable when day/momentum trading. RSI and MACD bearish/bullish divergences doesn't seem to work in intraday charts as they would work on a daily chart.
(If you have better ideas on how to trade this kind of issues, please let me know, it will be greatly appreciated.)
Okay, moving on, using intraday charts to trade:
APC: Breaking out at .89 should be a buy.
ELI: Consolidating at its high. Range of consolidation is at 0.79 to 0.82.
Buy at 0.79. Buy on breakout(Resistance 0.82). Buy on pull back/bounce to/from resistance at 0.82.
SINO: Broke out of trading range 0.38-0.43. Currently heading for correction and looking to test 0.43. Buy the bounce from 0.43.
SUN: Possibly forming a symmetrical triangle. Buy at 0.58 for anticipation breakout.
Skeptical/Neutral
Sold AP today for coffee money. Still being shaky with AP because I only bought it impulsively. Still wait for it to form a higher trough.
Currently holding AGI, CYBR, MBT and NIKL. I also sold several shares of MBT at 65.20 today because it's being a laggard and to raise funds for a possible trade for this week.
I am pretty much disappointed with the recent movement MBT. Good thing I sold some MBT at break-even as it continued to fall intraday before closing at its low. Right now, NIKL and MBT are cancelling each other out in my port! :))
I am skeptical with AGI's closing today but I still don't have a signal for profit taking. ROC is still poiting towards further advance in the short term.
I am also skeptical with my position in CYBR as I don't know how to trade it properly but since it is now showing profits, I will simply hold on to it in the mean time.
I am still neutral with NIKL as it simply continues to move sideways. ROC is now pointing up so this could probably point out to further advances in the short term.
Still trying to learn how to trade using intraday charts. Currently studying 5 minute charts for timing/day trading(in the future).
So in conclusion, I am still skeptical to neutral with my current positions.
Currently holding AGI, CYBR, MBT and NIKL. I also sold several shares of MBT at 65.20 today because it's being a laggard and to raise funds for a possible trade for this week.
I am pretty much disappointed with the recent movement MBT. Good thing I sold some MBT at break-even as it continued to fall intraday before closing at its low. Right now, NIKL and MBT are cancelling each other out in my port! :))
I am skeptical with AGI's closing today but I still don't have a signal for profit taking. ROC is still poiting towards further advance in the short term.
I am also skeptical with my position in CYBR as I don't know how to trade it properly but since it is now showing profits, I will simply hold on to it in the mean time.
I am still neutral with NIKL as it simply continues to move sideways. ROC is now pointing up so this could probably point out to further advances in the short term.
Still trying to learn how to trade using intraday charts. Currently studying 5 minute charts for timing/day trading(in the future).
So in conclusion, I am still skeptical to neutral with my current positions.