Thursday, December 29, 2011

Predictions for 2012

I have no idea how the markets will end in January, let alone 2012. If that seems like a funny way for starting a post titled "Predictions for 2012", then read on......In my humble opinion, all these year beginning predictions are good for is gloating at the end of the year in case they do come correct. As a short term trader, I don't care which way the markets head from here as long as I am on the right side of the trade, and so shouldn't you. Bull markets, bear markets, corrections etc are excuses best left for mutual fund managers and going by their recent records, even hedge fund managers. As short term traders, our job is to make money irrespective of the direction of the markets.

In fact, let me take this discussion a bit further by saying that all these yearly predictions do more harm than good. Suppose, I predict that Apple will hit 500 by the year end. As a result of this prediction and wanting to be proved right (who doesn't like being right?!), I will be looking at Apple through tainted glasses all year. Let's leave the yearly predictions to the economists (and recent times have proved how much do they know!). As short term traders, our only goals should be to try and become the best traders we can become. Let 2012 be a step in that direction!

Take care and good luck!

P.S.: You can follow me on twitter for latest post updates here.

Sunday, December 18, 2011

Airlines soaring

Sorry for the bad pun in the title of the post but I just couldn't help myself. Most of the airline stocks had a pretty good day on Friday, taking them above or just below key resistance levels. While some of the following stocks are a tad overextended and could do with a slight pullback, others are coming off periods of consolidation, making this the sector to watch out for next week in my opinion.

Take care and good luck!

Monday, December 12, 2011

Chart of the Day

When a very heavily shorted stock goes up over 6% on day when the market is down over 150 points, its gotta be on your watchlist. Short squeeze anyone?

Take care and good luck!

Sunday, December 4, 2011

Watchlist for next week

Here are few stocks I like heading into next week. The important levels are marked on the charts itself.

The following stocks have moved nicely since they were posted here on Wednesday and look good for more.

You can follow me on twitter and get the latest blog post updates here.

Take care and good luck!