Stocks I'm watching are all in the red today

[nomore4s]

Thanks tech/a, your perspective definitely highlights a number of important things to me. Obviously my resilience, attitude and commitment (amongst other things) will be tested once I decide to invest/trade.

Which is why you need to have a good plan and at least a basic idea of how you will deal with the various ups & downs the market will test you with.

 

[Country Lad]

...................I am constantly looking for good stocks getting beaten up on days like today.

If they get beaten up then they may no longer be good stocks

I tend to look at the stocks showing strength on down days or weeks. These are far more likely to continue being strong.

Cheers
Country Lad

 

[robusta]

If they get beaten up then they may no longer be good stocks

I tend to look at the stocks showing strength on down days or weeks. These are far more likely to continue being strong.

Cheers
Country Lad

All depends how you look at them, BHP got beaten up lasy year during Europe debt shambles and mining tax debacle but remained a good stock in my eyes.

 

[pixel]

Hi folks,

I'm a newbie that's posted on a few other threads and also started one (this being my second). Wondering how everyone's stocks/prospective stocks are performing today?

All my prospective stocks are in the red this week, (were in the green last week)... is the market taking a battering overall or is it just the stocks i'm watching?

I'm not too concerned as I'm paper trading at the moment and my investments will be long term in nature once it comes time to enter the market. How do people see the market performing over the next say 6-12 months, in particular the ASX200?? A few members have mentioned they are sitting on cash to see what happens so my thinking is to follow these wise ones and wait before entering the market with my capital.

Interested to hear your thoughts.....

Interesting start, Mr N;
I see a slight discrepancy between your time frames. If you intend to invest with a horizon of around 6 months, you'll only confuse yourself into a frenzy if you look at candle colours on any particular day. Instead, analyse weekly charts and keep a cool head above the little waves that are down one day, back up the next.

You're probably well-advised to sit on cash at the moment - not because the Market can't be traded, but because you need a lot more experience.

Check some - or all - of your stocks and compare their weekly charts over the last 5-6 years with the corresponding chart of XJO or All Ords. That ought to give you some clues as to how your stocks have performed relative to each other and to their average. That's what I call "a stock's DNA"; if you get a feel for that, you don't need to pore over daily "noise".

 

[bathuu]

If they get beaten up then they may no longer be good stocks

Very interesting point, perhaps there are not many stocks can show that absolute strength when whole market is in negative sentiment, unless it is supported by news announcements on that day.

 

[Nortorious]

Interesting start, Mr N;
I see a slight discrepancy between your time frames. If you intend to invest with a horizon of around 6 months, you'll only confuse yourself into a frenzy if you look at candle colours on any particular day. Instead, analyse weekly charts and keep a cool head above the little waves that are down one day, back up the next.

You're probably well-advised to sit on cash at the moment - not because the Market can't be traded, but because you need a lot more experience.

Check some - or all - of your stocks and compare their weekly charts over the last 5-6 years with the corresponding chart of XJO or All Ords. That ought to give you some clues as to how your stocks have performed relative to each other and to their average. That's what I call "a stock's DNA"; if you get a feel for that, you don't need to pore over daily "noise".

Thanks for the post/response Pixel. I'm interested in both short and long term strategies in the market however will start with a long term portfolio (passive income and capital growth goals). Your recommendation to analyse weekly charts will be taken on board and I'll try to resist the urge to check the watchlist every hour...

The recommendation of comparing the companies to the XJO and/or All Ords is smart. I'll be doing that tomorrow!

I'm sitting on cash and will be until I feel I have a good (or at least better) understanding of how things work, or tend to work, within and outside the Aussie market.

All the discussions I'm participating in are helping me to accelerate my learning (in addition to the other readings and research I'm doing). Thanks to all the ASF members for your contributions!

 

[Country Lad]

Very interesting point, perhaps there are not many stocks can show that absolute strength when whole market is in negative sentiment, unless it is supported by news announcements on that day.

There were 41 shares with prices over 10 cents which did not drop on the down day yesterday and were up more than 10% today compared to the price of the day before the down day. Only 4 of those had a price sensitive announcements on the down day.

Cheers
CL