i give up. i have another radical interpretation for you. the earth...my sources tell me it is round. FFS you tell me i don't know what is going on and then when i tell you i will explain it you say "naaaaah i don't want to hear all that crap". please continue to buy weak charts. be a hero!
All right people, despite the fact that there are a lot of good traders still writing in ET, But I am slowly loosing my interest on putting my time reading these forums. Dear traders, I think we all know what the falling knife is, we all kind of know what the f.. has happened to our economy and we are in not in a good situation specially the financial sector, But come on guys, there is such a thing as counter trading, that is why you make a call for something being oversold and overbought, catching a falling knife is not a bad thing all the time, If you manage your loss properly and you do not bid your life on it. I would rather to take a loss rather than missing an opportunity when I see the risk to reward ratio of 1/3 is possible. Many strategies also like to see the sign of reverse and get on board then, that is also a good strategy too. I see trading as simple as : doing a good homework, making sure you are getting a good entry, position sizing properly and managing your loss and gain properly. Bottom line is if you are profitable, right ?
OK, S&P500 is looking weaker to me at the moment, histo in C's weekly chart is very close to the one of S&P500, so it is reasonable to expect C going down with the index. Rising histo & RSI making sharp oversold troughs with combination of huge volume in C (see chart) does indicate to me that it wasn't all selling volume going on there, there's been a fair bit of accumulation. Also I am seeing weakening upside price action in oil, I know it's been trending solidly, but I am just reporting on what I am seeing, not what I am thinking. I know it might sound odd, I am simply observing histogram without emotional attachment, it does indicate weakening price action. But getting back to S&P500's likely decline shortly I would be naive to dismiss same happening to Citigroup, most likely it will follow suit. In light of that I am temporarily suspending the recommendation. But it doesn't mean I am changing my mind, not at all. I am just seeing that right now might not be a good time, as stock market decline is round the corner ImPO. Hopefully there will be a better time to seek out a long entry. If I am wrong now and markets take off (which I doubt looking at the indexes) then it will only make sense to buy into strength. <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1962896>
JSS, Did not notice your thread here until now! C's bottoming action has a widening down side wedge. i.e. the slope of the down trend line on the peaks not as steep as the down trend line of the bottoms. ImHO, that down trend line of the tops will break eventually ... and C will eventually pop up, but no need to rush to pick the bottom yet. Best.
C's buy recommendation is back on off the Daily chart's formation @ current $19.38 mid with no prisoners taken scale out target of $21.50 with a 1:1 risk/reward.
going back to the well of profit? that last recommendation based on the chart was great. you would have been down nearly 2 bucks a share a couple days ago. now it's a bargain. you are only down a buck a share. MUST...FIGHT...TREND!!! good thing you aren't actually putting money on this trade you are recommending.
Robbie, Sometimes you just have to step into the waters when you believe a stock is nearing a bottom. This is a strategy which many professional traders and fund managers employ. Whether they are successful or not, time will tell...however, at least they have the balls to make a decision and are not buying at the top like so many traders do on this site.