Comments on: Stock Bias Test Results

By: Aurelien

Aurelien — Thu, 12 Jun 2008 03:08:14 +0000

Excellent idea Chris! I’m annoyed that I did not figure out that #1 was BIDU as I had options on it when it made its move up from 90 to 130. Unfortunately, I books my profit then instead of holdign on.

By: bill

bill — Wed, 11 Jun 2008 05:47:04 +0000

chris,

thanks for u r post , i do look for it.

question – are you increasing u r position in SOL as it is beaten down so much. I am looking at some long date calles.

please let me know ur thoughts.

thanks

By: Tony

Tony — Wed, 11 Jun 2008 04:49:35 +0000

I think i need to buy Brian’s book.
Thanks Chris

By: Chris

Chris — Wed, 11 Jun 2008 02:03:36 +0000

a5,
Sector would be good to know as noted in the highlighted comments above but that wasn’t the point of the exercise. You mention “financial” and immediately form a bias.

I understand that stocks move in groups but look at the bias you already formed.

ACFM looks nothing like BIDU at $6 per share and average volume of 40k shares per day. No institutional support with your stock.

BIDU was doing millions per day at the start of the run and 20 million per week during the run – clear institutional support.

By: Janet

Janet — Tue, 10 Jun 2008 22:12:17 +0000

I didn’t put my 2 cents in because you had plenty of comments but I did the exercise in my head and yes, number one looked like the stongest to buy. Which I believe you said that was bidu, thanks for the exercise.

By: a5

a5 — Tue, 10 Jun 2008 21:28:55 +0000

It’s a good exercise but there are probably plenty of charts like BIDU’s that failed spectacularly.

It’s fair to leave out the name but the ‘sector’ would be good to know. Obviously if you know that ‘x’ is a financial stock it’s probably going to drop.

I mean — here’s a chart that I think is similar to BIDU — new high was hit on strong volume. In the energy sector.

http://stockcharts.com/h-sc/ui?s=ACFN&p=D&yr=0&mn=9&dy=0&id=p99520663576

So far — no massive breakout. If only you could cherry pick your own charts…

By: Neil

Neil — Tue, 10 Jun 2008 20:13:56 +0000

Same! My margin account would have been so delinquent that they would have had to repossess all of my ramen.

Thanks a lot for the eye-opener – I knew they’d be big-name stocks, but didn’t quite suspect the charts would be from that long ago. Do more of these, please!

By: dexmus

dexmus — Tue, 10 Jun 2008 14:20:31 +0000

Wow…phew!!! Glad that it was just an exercise, I was going to buy Morgan Stanley…