HANS UPTADE - Nice breake of highs in the stocks which i mentioned yesterday and last week today is up more than 6%
You're on right track. The CANSLIM is far better than any of the futures trading BS spread around on internet. (even though this thread sounds like little advertising )
I am sorry for this I post there links only becuase the original articles with better screenshots. When the markets start to rally I try to post there any possible setups which grab my attention but now when the market is in correction there is a very few opportunities,if any.. Like I wrote above only HANS is tradeable right now
Carry one with your analysis... I'm researching on same and may be able to help you. BTW if they think the word 'canslim' is copyright, how about using the better word 'relative strength' (RS)?? You may like to go through Marting Pring's work on RS. Cheers!
Did you trade during the technology buble in the late 90´s? If not, you passed the best opportunity before the lost decade of the current market. These times every stock with .com in their names literally exploded after each base brakeout. It was golden era making many stocks millionaires while the buble lasted.But when the bubble burst these millionaires went away as fast as they came here. Nothing lasts forever and every buble sooner or later bursts. I could show you minimally 50 charts from the late 90´s which produced huge gains in matter of weeks but I rather focusing on examples for more common market conditions. Anyway it is impossible to just skip this era and I will show you a chart which we want to see again, when we are looking the next market winner. 1. Same pattern as always stock exploded. Before our first base brakeout QCOM climbed for more than 200% in 2 months. Look what happens again. It is the same thing over and over again. Stock started to correct. And again what was our support point? Yes, you are right it was our good friend 10 weeks(50 days) moving average. For one month stock rested in tight consolidation area and after the brakeout starts to move higher. 2. Do you see how 10 weeks moving average is supporting the price? I never found in my carrer better moving supports than 20 and 10 weeks mov.average. Am I talking only about moving supports? Yes so far I did, but in point 2. you can see next very strong phenomenon. I call it role reversal or in other words previous resistance has become support. 3. Price breaks through the old high, makes new highs and then corrects to the previous high. This is very common and I will explain what cause this thing. Traders who thought that the price of QCOM is irrationally overvalued want to make some money on this. They tought that price of QCOM is much lower than 20 USD a share and they starts to short sell. When the stock breaks heavy they now have big short losing positons and they pray to close at break even. Stock correcting to their break even point and from prior sellers is now buyers and supporters as they liquidate their short positions. This is the fuel for the price and when demand is increasing, stock price is increasing too. 4. The mania at its top. But only at the first sight. Nothing is more far from the truth than this. At my screenshot you do not see price top at around 100 USD a share. But this time it is irrelevant for us because we are interested in nice high bull flag chartpattern which preceded big price increase. ORIGINAL: http://canslimer.net/articles/past-lessons/26-qcom
I'm not using canslim- but a custom methodology to rank stocks according to their RS on whichever factor I can. The 'factors' used for RS include: - trend strength ( a custom indicator similar to ADX) - volatility (average true range) - Momentum - Upside/Downside potential Similarly I do the RS ranking based on fundamental factors (sorry cannot share my exact spreadsheet). I'm little confused by your analysis because its just chart specifics for individual stock. What about the other parts http://en.wikipedia.org/wiki/CANSLIM
yes it is pure charts but all charts what i mention in series is fundamentally correct and fits all canslim fundamental criteria. I used to also look for similar criteria at my private account but as a portfolio manager I need to work with longer hold period because of a slippage on bigger account