Sunday, June 8, 2014

Belmont Stakes Payday

Every now and then magic strikes, the stars align, and you come out on top.  I'm not going to bore you with the details of how this came to pass, or to feign any sense of equestrian betting prowess.  Just showing you it can be done.

This ticket actually paid out on 2 superfectas because California Chrome (#2) and Wicked Strong (#9) finished in a dead heat for fourth place.

$8K and a touch more.  What a day ...



Friday, April 4, 2014

Low Priced Compressed Falling Wedges

Here are a few charts I've been monitoring recently.  Of particular note, take some time to scan through the "industrial metals & minerals" on finviz.com.  There's possibly a big move forthcoming in some of the beaten up names in the rare earth elements sector.

Some like TAS, PLM, DNN, RVM  and others have already made small moves off their bottoms and are now poised to make secondary, continuation moves.  Others like QRM, PLG, PAL, AVL, MCP and REE have yet to make their initial push higher.

REE made what looked like a potential breakout from its bottom in early September of 2013.  But then as the stock gained momentum, the company issued more shares to fund operations and diluted the stock.  The stock then made a quick reversal and fell to new lows.  This is why you must use stop losses.

In the earnings report released on March 17, the company said it has enough cash on hand to fund operations for the 2014 full year.  That said, the company has not produced anything yet, and characterizes itself as an "exploration stage company".  It doesn't expect production to begin at its Bear Lodge project in Wyoming until late 2016 at the earliest.  So this remains a very risky play.

There will be opportunities for day trades, swing trades, and longer term position trades depending on your investment style.

Note: DRWI is a straggler not in this aforementioned group, but with a nice pattern.

Always use stop losses in your trading.  If you do otherwise, expect to lose everything you have invested.