MightyMO : Rob The Stock Markets Blind: Stock Wednesday in June

------------------------------------------------------------------------------------------------------

The stock market is simply the result of many people trying to make money on their investments.

You're not in a contest to see how many picks you got right. Your goal and objective is to have a winning overall profit.

---------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------

The daily log

8:45am The market is currently in a battle of bulls and bears with the bears taking the upper hand in recent days. As I look at Price. the Trend, and overall Market Direction, the numbers show it going down. That said, I've curtailed my 'buying' as you can tell and just sold BAC and MCD.

8:55am Even with this rough market environment, our process is keeping us in the black (above water). I will be looking for buying opportunities today. Our visitors pageviews continue to hit above 100 daily, even with all the market negativity. I thanks you for your support.

9:05am WAG has momentum. Decided to open it with 100 shares.

9:20am When I make a mistake, I need to rectify it immediately. Sold GM.

9:25am This market appears to be in correction mode. It is spooked by verbage from the Federal Reserve Bank. My main axiom is 'Don't fight the Fed'.

10:20am Taking my own advice, don't fight the Fed, don't fight the tape. At this time, will wait out the market storm. Sold all current positions. Still up with a small profit.

---------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------

...In case you would like to follow our stock trades up to the very minute. I try to 'print' the trade within a minute or seconds on 'Stock Twits' (STOCKTWITS.COM) before I update them on here. You can follow me on stock twits by going to stocktwits.com and signing in (it's free). Then follow ROBMARKETBLIND.

PICTURES OF THE DAY

MO's pictures of the day

--------------------------------------------------------------------------------------------------------

Most beautiful towns series

Riquewihr, France

---------------------------------------------------------------------------------------------------------

LADY OF THE DAY

Emmanuelle Chrique

...........................................................................................................................................

MOVIE SPOTLIGHT - coming

THE WALL

A woman awakens one day to discover her mountain cabin has been separated from the rest of the world by an invisible wall

GUY for the Week - The King

Classic Auto of the Day

Invest in a classic car that is certain to appreciate in value

BMW

If the right car does turn out to be an appreciating asset, any later sale is not subject to capital gains tax.

Thought for the Day

VINTAGE LADIES OF THE DAY

So excited about finding this picture! It was during the war and nylons were giving to the soldiers. Women painted their legs or drew stocking seams on the back of their legs to stay “fashionable” and lady-like.
It shows that women will do anything to keep up appearances.

Lauren Bacall - aged 19

Back in the day - Drink and Smoke

News

THE STOCK MARKET INDICATOR

"What seems too high in price and risky to the majority usually goes higher eventually, and what seems low and cheap usually goes lower." This famous statement is from William O'Neil in his best selling book, How to Make Money in the Stock Market.

There are numerous indicators measuring everything from sentiment to fundamental ratios to technical chart patterns. Every one of them is subject to interpretations which can result in incorrect decisions.

Even if some of these indicators had predictive value, on any given day there are so many potential news events that could change market direction that it is impossible to keep track of them all.

But there is one indicator, one core piece of information, that is always up to date and always correct. That piece of information, is price. And particularly the closing price at the end of every trading day. All the news, inside information, economic and fundamental data available, is reflected in that closing price. Price is the ultimate stock market indicator.

The buying high price strategy works whenever the market is accommodating and the market is certainly in an accommodating mode.

THE FEDERAL RESERVE SYSTEM AND MARKET DIRECTION

My approach has always been to ignore the predictions and forecasting from the market media and tune in to the music from the Federal Reserve and stay with the trend. I have found out after a very long experience in the stock market, is to never fight the FED. As you all know, the FED implemented a process to rescue the US economy from the brink of a depression starting in 2008. It consisted of buying bonds and risky assets to pump money into the economy. It has been known as QE. Even with all the criticism , the economy has managed a recovery with unemployment declining, with the economic numbers pointing to further expansion and the housing market has definitely improved. ------------------------------------------------------- My MAJOR stock market axioms.

1. If the stock you purchased is going the wrong way, YOUR BEST AND SMALLEST LOSS IS YOUR FIRST LOSS (cut your losses short)

2. As best as you can, the market can be very volatile, NEVER LET A PROFIT BECOME A LOSS (sell before it drops below your cost basis)

3. Be on the lookout for stocks hitting their first 52 week high or all time high. The chances are excellent it will continue to hit new highs. BUY WHEN A STOCK HITS IT'S FIRST HIGH. A STOCK'S FIRST HIGH IS USUALLY IT'S LOWEST HIGH

4. Don't hesitate selling a stock if the trend has changed or market direction has changed. DO IT FAST.

5. When you have a winning stock, buy more of it and add to position. LET YOUR PROFITS RIDE.

6. IF you are in a position where you can't watch the market, sell your positions. One can always buy back the stocks.

7. Do take advantage of market irrationability. There are excellent opportunities when this happens. I will be relating these opportunities in future postings. It is the basis for the ROB the Markets Blind portion of my strategy.

8. Avoid people who are overly negative on the market. They don't make money consistently and you won't either. (Joe Granville was negative on the market for ten years (1990-1999) during one of the best 10 year bull stretches in history).

9. You're not in a contest to see how many picks you got right. Remember you goal is to make an overall profit.

10. NEVER, DON'T EVER, FIGHT THE FED

Stock Wednesday in June

No comments:

Post a Comment

Total Pageviews