wow. da market sak. wow.

Wall of worry.

Sold(cut-loss) half PX @19.66 earlier today. Remaining position break-even level is now up @20.
Proceeds used to buy additional LC @0.81.
Free cash used to buy additional LC @0.78.
Only 1 losing position in LC, bought @0.85.
I'd probably lighten up somewhere 0.90+ but if this one closes higher than 0.88, I'd probaby hold for the meantime.

AGI broke down/gap down and closed below support @11.
DMI sell signal on daily and weekly chart.
wRSI broke down.
Triple EMA breakdown.
Pattern breakdown target: 9.12.
Medium term support: 10.

AP weekly 50MA/Pattern support: 27.
wRSI broke support.

AT Range trade. Trading range 16-18. Possible trend candidate. wMACD Buy signal.

CMT support 1.20.

LCB possible doji setup.

LR possible doji setup.

MA gap support @0.039 held(?)

MER MPP possible penetration. Buy stop @257.

PX weekly reversal pattern. wRSI sell signal. Watch price movement at wRSI support.

SMDC range trade. Trading range 8.50-9.50.

SMPH breakout candidate. Normal resistance @12. Trading range 11.50-12.

URC WPP buy signal.


PSEi is bearish. New RSI low but index is still not making new lows.
All shares index looks like holding up(RSI support).
Financial sector is forming successive lower RSI highs(bearish divergence). DMI sell signal today.
Holding sector is forming successive lower RSI highs(bearish divergence) and currently trending down but trend strength is starting to pick up.
Industrial sector is holding up(RSI support) but currently trending down and trend strength is starting to pick up.
Mining sector is holding up(RSI support) with a possible short term reversal play(doji setup).
Property sector appears to be in a weak downtrend.
Service sector appears to be in a weak downtrend.

LC

Bullish divergence on 5-min chart:




Or I am probably just hallucinating lol

Can the bears push AGI down to 10?

FGEN

Good thing I checked FGEN's weekly chart despite the urge to buy after the four consistent pattern it was showing:


I think it's better to wait for weekly RSI 40 for the mean time.

I wasn't expecting the gap down today though.

Got stopped out in FLI @1.21.

I really thought that the 10-min downtrend in LC is about to end when it went the other way around today so I decided to place a barat bid @0.78 which didn't get hit today.
121 bought up alot of shares yesterday @0.85. 121 sold alot of share today @0.83.

I'd probably add some in PX tomorrow if it starts recovering by then.

Finally some volatility in AGI! I am really tempted to buy some earlier but I didn't. I would be waiting for a confirmation tomorrow but if AGI drops to 10.50 levels, I think I would jump on it. Bullish divergence on the 10-min chart suggests a short term bottom is just around the corner.

Or place a buy stop in BEL? Range looks pretty good and can be traded.

Today was rather boring although I think today would have provided some good entries to certain issues.

Issues that I am looking at this week are AT/BEL - range trading, PX/LC/B/URC - trending with LC/B/URC completing a 1-2-3 pullback setup and finally CEB for a pullback after a breakout setup.

I think LC needs to close higher than 0.88 to continue heading up.

Hopefully, CEB closes somewhere @90 this week to confirm my theory.

I am confused with URC's price movement. I am wondering if today's price action completed it's 1-2-3 pullback today. Lemme see my notes...

No idea what happened to MEG today.

I love small red candles. <3

Manila Mining (MA)

Sometimes, I don't know if I am just having a bad break or simply being stupid when trading.

Here's one of the reasons why I stopped trading with candlesticks(well I still do trade with doji candles though):



A hammer followed by a bullish engulfing = $$ right? Not this time. Had you traded it that way, you are down by 6% or so in the trade already plus another 6% or so, depending on your position size while waiting for your stop to be hit.

Or maybe, I am doing it all wrong. Perhaps wait for the gap to be filled/position at the gap instead?
I'll toss a coin if I would place a barat bid at 0.036.

I'm betting LC will continue to move sideways to down for another day or two.

Too many sellers in PX @20.


*EDIT: If I am reading LC correctly, it would probably resume heading back up by Tuesday.

Click here for the original post: http://www.investmentu.com

A Position Sizing Lesson: Why Size Matters to All Investing Greats

By Brian Hunt, Contributing Editor
Tuesday, May 25, 2004: Issue #340

I made four times my money in JDS Uniphase. But I made one mistake with JDS Uniphase: I didn’t put enough money into the trade, and picked up a valuable lesson on position sizing. It was early 2000, near the top of the bubble, and I was getting used to making 100%-plus returns.

Reading a popular investment newsletter, I fell for the hype surrounding another tech stock, LSI Logic but I wouldn’t make the same “mistake” I did with JDS Uniphase.

“If I’m going to make four times my money again, I’m doing it with over half my portfolio,” I thought.

But something awful happened on the way to the bank: Instead of soaring in value and making me rich, LSI Logic tanked. I was out $23,000 – more than I would even spend on a car!

The LSI Logic loss was brutal, and it wasn’t the only stock I lost money on. So I decided to make a big change. I couldn’t lose that kind of money again.

I left the markets for over a year to study to find out what professional investors do that I didn’t do.

Here’s what I learned…

Position Sizing is What the Pros Do that Novices Don’t

I made all kinds of mistakes starting out, like trying to make a quick buck and buying the most popular stocks but the biggest mistake was ignoring position sizing as a powerful investing concept.

It’s amazing how few investors even consider how much money to place into one investment. That’s all position sizing is the part of your investing strategy that tells you “how much” to place into any one investment.

Position sizing provides the answers to these questions:

• Should you place 10% of your money into one stock?
• How about 50% of your money?

What All Great Traders Have in Common

After taking several big losses in my account, I decided to learn from the greats. I read a book called Market Wizards, and discovered the world’s most successful investors used position sizing by putting only a tiny portion of their money (generally 1-2%) at risk on one idea.

I then learned the specifics of position sizing from the book, Trade Your Way To Financial Freedom, by Dr. Van K. Tharp. After studying thousands of successful traders, Dr. Tharp learned that every trader making millions in the market is fanatical about using position sizing to control risk.

Here’s How You Can Use Position Sizing in Your Own Portfolio

Let’s say you have $100,000 to invest and you’re using the 1% risk model to guide your investments. If you’re using a 25% stop loss, you could buy $4,000 worth of stock and risk $1,000 ($1,000 is 1% of $100,000).

In the example above, you placed 4% of your portfolio into the stock and set a 25% stop – risking just $1,000 of your money (since $1,000 is 25% of $4,000).

Some investors use even tighter stops, in the 10%-15% range.

If you’re using the 1% risk model with a 10% stop loss, you could buy $10,000 worth of stock. You have the same dollar amount at risk ($1,000) as the first example – but you’re allowing the stock less room to go down before you sell.

Now I use smart position sizing – and I never worry about taking big losses like I did with LSI Logic. Take a look at your portfolio today and make sure you know “how much” you have at risk. That way you’ll be prepared regardless of what happens with any one position.

Breakout buy entry

(high+close)/2 > Previous high = buy

Who killed Momentum?

That's who.

FLI's annoying little sucker. Damn.

40 Million wall @ 0.93. Damn.

LC looking to gap up today. yikes

Finance Manila: Trading Systems, Methods & Resources

Added a new link:

Trading Systems, Methods & Resources from Finance Manila (financemanila.net).

Lots of stuff to learn in the thread. Too bad it isn't sticky-ed on FM so I'll be keeping a link for a more direct access instead of digging it from the grave. Worth every time spent reading when one needs guidance.

Haters gonna hate.

If LC is a person, this is what he would probably feel today:

Despite my vow not to go/read forums anymore, I still did as I am bored as hell during trading sessions plus there's really nobody to talk to with regards to stock trading among my friends. Anyway, I am holding LC as my core position now so I frequent the LC thread in Finance Manila.

As I read the thread, I already felt that LC is poised for a heavy correction as majority of the posters are clamoring for a gap up to 1 while others are making calls for it to move to 1.20. As much as I do with everything, I ignored it and moved along. And so the correction came and so the bashers. I think yesterday was the worst day for LC as people started to dig up fundamentals again plus I really felt like bashing my head against the wall too lol.

Today it closed by more than 12%.

I think we can use the forums to use some of our trading decision too. As far as I have observed in the past, when people are clamoring for a gap up, it's time to sell. When people are bashing a certain stock - but with the exception of bash-plenty(is that even correct?) issues - it's time to sell.

Sold JGS for -2% of capital today @26.50 for PX @19.22. I still sold it despite the fact that negative momentum has slowed down/bottomed out already because positive momentum in PX has started to gain already. I am looking for a quick(a week) 10% in PX more or less.

FLI is up! Yay haha. Small position only. "GEO" fund.

DMI buy signal on SCC fyi.

See MA. Today was the confirmation that I was talking about right?

I really like to believe that the sellers in LC got tired selling already this past few days.

Manila Mining Corp "A"

I wanted to buy some MA earlier today but I was afraid lol.

Here are the reason's why I wanted to buy it:



RSI is resting at its support with negative ROC flattening out suggesting the correction is over.

Maybe I should have bought since I was feeling afraid lol. Anyway, confirmation of the next move is tomorrow.

Was thinking of selling JGS for a loss earlier today so I placed my sell order @25.85 but I pulled it out when I saw someone bought up to 25.60. Luckily, it closed @26 although still for a loss. I am starting to get traumatized by doji candlesticks at higher end of the trend lol.

Today is probably the worst day for DMC. -11.70% in one day just because it wasn't included in MSCI(unexpected)?

No way in hell for me to catch the move in ICT today. Will it continue to go higher? I have no idea but I hope it fades the gap back to 55 at least. It is trading another all time high though.

Bought some FLI today @1.25. Let's see how things go from here.
LC is breakeven. :((

Trading tools are back. My current system is for trending stocks, which sucks and prone to buy high sell low in ranging markets.