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Jysin

Jysin

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Sanrith Descartes said:
I have never bought into the making up names for shapes the trend lines make.
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As someone who preaches Technical Analysis as much as you do Fundamentals for your value boomer stocks, I am surprised you dismiss these.

Double top is valid as it becomes a resistance / breakout point. Buying right at a previous top would be a fairly risky play. You need real volume to break out of these, but once they do, they can really start the next leg up. However, you will more likely see selling pressure there and a pullback (perhaps multiple attempts) before the real break comes.

Typically, it all depends on the style trading you do. But buying just under the double top, whether you're a day / swing / or investment trader is rarely the best entry.

This is potentially more important to consider than your value entries on the way down. You're essentially buying the top and hoping for a breakout. The most risky of entries.
 
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Jysin

Jysin

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Here's a better chart to get a real view of the price action. Clearly, the 100DMA was the best entry looking back. But you can also see the 50DMA provided an attempted bounce as well. These are your best entry points. I didn't bother marking out pivots (can be equally valid support / resistance), as I don't trade TSLA.

tsla.jpg
 
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Jysin

Jysin

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To further validate my point, pushing the chart back to the last year you can see multiple double, triple, quad tops. Each time they have failed, there is a marked pullback in price before finally breaking out. You can often see after the breakout, the stock can retrace to backtest the previous resistance, which then becomes the new support level before legging up.

If you bought any of these marked tops on the first test, you would have always got a better price on the failed breakout and bought lower.

Technical Analysis is always important to consider. Unless you've just got automated monthly contributions ala 401k / IRA to set and forget it. For anyone else in this thread, it seems most are trying to get better entry points vs blindly buying a name. Check your levels gentlemen.

tsla2.jpg
 
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Sanrith Descartes

Sanrith Descartes

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Jysin said:
As someone who preaches Technical Analysis as much as you do Fundamentals for your value boomer stocks, I am surprised you dismiss these.

Double top is valid as it becomes a resistance / breakout point. Buying right at a previous top would be a fairly risky play. You need real volume to break out of these, but once they do, they can really start the next leg up. However, you will more likely see selling pressure there and a pullback (perhaps multiple attempts) before the real break comes.

Typically, it all depends on the style trading you do. But buying just under the double top, whether you're a day / swing / or investment trader is rarely the best entry.

This is potentially more important to consider than your value entries on the way down. You're essentially buying the top and hoping for a breakout. The most risky of entries.
Click to expand...
There are literally dozens of various indicators/tools to use for analysis. I choose the ones I feel have given me the best results. I am not saying the ones I don't choose to use are "wrong", just that I choose not to put as much faith into them as I do some others.

On your other post, I will "rarely" buy in at the 50-DMA of a stock. Very few stocks consistently bounce there as support. I am a 100/200 guy generally. It depends on the individual chart to be honest. NVDA for example does very well off the 50 and rarely sees the 200. Different stroke. I treat every stock individually in terms of research. Every chart is just a whee bit different.
 
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Sanrith Descartes

Sanrith Descartes

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Sold DE and MDT at the opening pop. Minor gains on both. Wasn't seeing the recovery I was expecting.
 
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Sanrith Descartes

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I know MA was kind of a disappointment early on for those who grabbed it, but it looks like it is turning the corner now. Popped a 13-week high this morning and broke $380
 
Furry

Furry

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When I bought in yesterday morning all the markets were red. Didn't expect to log in and find all this quick green. Looks like I'm upgrading from the double cheeseburger to the triple today without guilt.
 
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Blazin

Blazin

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Sanrith Descartes said:
MTTR experience reversion to the mean.
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Anyone in it for a trade would have sold up 100% anyone in it for the next 5 yrs it's a meh. The only movement I care about is the occasional earnings report that outperforms because they are executing. SHort term trend is broken, markets love affair with metaverse currently on hold. Can't help to look at highly volatile positions sometimes but to be honest there is zero reason to even be looking at a position you bought for 2025. And if people wanted to get rich quick and didn't sell a 100% move then I don't want to tell them.
 
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Sanrith Descartes

Sanrith Descartes

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Blazin said:
Anyone in it for a trade would have sold up 100% anyone in it for the next 5 yrs it's a meh. The only movement I care about is the occasional earnings report that outperforms because they are executing. SHort term trend is broken, markets love affair with metaverse currently on hold. Can't help to look at highly volatile positions sometimes but to be honest there is zero reason to even be looking at a position you bought for 2025. And if people wanted to get rich quick and didn't sell a 100% move then I don't want to tell them.
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Chuckle, its a little different for me as I have puts expiring in a few weeks :)
 
Jysin

Jysin

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I was just chatting with someone over my skepticism on F and carmakers in general. Demand for their EVs is one thing, but Q4 was full of plant closures due to chip shortages and I am very interested to see what Q4 results are. Could potentially put a reality check back on these names.

Not even 2 minutes later, GM news hit the wire that Q4 sales are down -43%y/y. This news also took some wind out of the sails on F.

How far forward are the markets looking if Q4 numbers come in below expectations? Lack of chips isnt exclusive to autos either. Q4 earnings may be an eye opener.
 
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Sanrith Descartes

Sanrith Descartes

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True story. I was watching SQ at the open and as it drifted lower was prepping to place a stop at my cost basis of $158.50. Phone rings and distracts me. SQ now at $151.85
Life comes at you fast.
 
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