any views on financial tech,nova petro

blitzkrieg · #1 30th December 2006, 11:39 AM

these are 2 stocks i've recently added into my portfolio.

about nova petro, after a long bear run from 65 to 14 , it started rising to 27 ,but yesterday went into lower circuit

financial technologies is a speculative stock, i think their 65%holding in MCX is the major factor for their rise till now, but how long it will be able to sustain this i'm not sure

Could anybody give their views on these, whether these are good for a short term trader like me

aca_trader · #2 30th December 2006, 09:21 PM

Quote:

Originally Posted by blitzkrieg

financial technologies is a speculative stock, i think their 65%holding in MCX is the major factor for their rise till now, but how long it will be able to sustain this i'm not sure

Could anybody give their views on these, whether these are good for a short term trader like me

I hope this may explain for the short term.

Best Regards,
--Ashish

tarzan007 · #3 30th December 2006, 11:35 PM

Nova petro is purely an operator stock, very risky scrip i should say

blitzkrieg · #4 31st December 2006, 02:53 AM

acatrader, thanks for ur view on financial tech
but i'm not much of a technical analyst myself, but what I found from the chart is that as it has not crossed the neckline but has started movin up from the neckline, it has entered a bull run,

can you verify this

rangarajan · #5 31st December 2006, 07:27 AM

Dear Aca trader,
this seems like an excellent trending stock.I reproduce below,what i had read.May be useful:

Here is the third pattern in our series of low-risk, high
probability of success trading patterns.

» Pattern 3: Pullback

- This pattern is only applicable in a strongly trending stock

- At least three consecutive lower highs for buying, buy as
stock trades above most recent high

- At least three consecutive higher lows for selling, sell as
stock trades below most recent low

The first question you should have is "what is a stongly
trending stock"? A very good question indeed. The easiest
way to measure a trending stock is to make sure the stock is
either making higher highs and higher lows (for a buy) or
making lower highs and lower lows (for selling short).

That's as difficult as it needs to be. You should be able
to see a strongly trending stock by just looking at a chart.
Remember, if it's not obvious, then it's probably not trending.

Once you have a strongly trending stock, then looking for
pullbacks becomes a snap. Buy a stock that recently made new
highs AFTER it has had at least three consecutive >>lower<<
highs. Don't just buy it at any price after the lower highs.
Buy only as it trades >>above<< the most recent high.

Trust me when I tell you that being patient will be your key
to successful trading. Make sure a stock proves itself, even
just a little bit, by trading above the previous day's high.

Sure, you miss a little of the possible profit. But, you are
actually giving yourself a better chance of being successful.

With all this talk about buying, let's not forget that just
the opposite applies for selling short.

Of course, a picture will show exactly what I am saying in
words much better. So click on the link below to see what
I am talking about.
A Happy New Year,
ranga

aca_trader · #6 31st December 2006, 04:32 PM

Quote:

Originally Posted by blitzkrieg

acatrader, thanks for ur view on financial tech
but i'm not much of a technical analyst myself, but what I found from the chart is that as it has not crossed the neckline but has started movin up from the neckline, it has entered a bull run,

can you verify this

That is how a shoulder is formed. Till the time higher pivotal highs and lows are made, we can not say that the stock has started a bull run. IMHO, the formation is still valid.

Bet Regards,
--Ashish

aca_trader · #7 31st December 2006, 04:37 PM

Quote:

Originally Posted by rangarajan

Dear Aca trader,
this seems like an excellent trending stock.I reproduce below,what i had read.May be useful:

Here is the third pattern in our series of low-risk, high
probability of success trading patterns.

» Pattern 3: Pullback

- This pattern is only applicable in a strongly trending stock

- At least three consecutive lower highs for buying, buy as
stock trades above most recent high

- At least three consecutive higher lows for selling, sell as
stock trades below most recent low

The first question you should have is "what is a stongly
trending stock"? A very good question indeed. The easiest
way to measure a trending stock is to make sure the stock is
either making higher highs and higher lows (for a buy) or
making lower highs and lower lows (for selling short).

That's as difficult as it needs to be. You should be able
to see a strongly trending stock by just looking at a chart.
Remember, if it's not obvious, then it's probably not trending.

Once you have a strongly trending stock, then looking for
pullbacks becomes a snap. Buy a stock that recently made new
highs AFTER it has had at least three consecutive >>lower<<
highs. Don't just buy it at any price after the lower highs.
Buy only as it trades >>above<< the most recent high.

Trust me when I tell you that being patient will be your key
to successful trading. Make sure a stock proves itself, even
just a little bit, by trading above the previous day's high.

Sure, you miss a little of the possible profit. But, you are
actually giving yourself a better chance of being successful.

With all this talk about buying, let's not forget that just
the opposite applies for selling short.

Of course, a picture will show exactly what I am saying in
words much better. So click on the link below to see what
I am talking about.
A Happy New Year,
ranga

If the pattern fails, certainly this H&S formation will act as an act of consolidation and will push the stock to new highs. However, we can not adjudge this formation as a pullback. In a pullback, the stock should respect the previous pivotal low and should make a new pivotal low which is higher than the previous pivotal low. But the stock is making a series a lower highs/lows which is an indication of change in direction and not pullback.

Happy New Year!
--Ashish

rangarajan · #8 31st December 2006, 05:43 PM

thank you.More learning & more intrpretation.
ranga

aca_trader · #9 31st December 2006, 08:19 PM

Quote:

Originally Posted by rangarajan

thank you.More learning & more intrpretation.
ranga

Always a pleasure.

Best Regards,
--Ashish
http://tradingtalks.blogspot.com

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