Technical Analysis of Stock Trends

PALM ing the EURO. Waving the Dow.

Posted on Apr 29, 2010 by WHC Bassetti.

PALM.  A shell game?

Still down.  System wins again.

Still up.  System wins again.

As we pointed out, PALM was a shell game.  The takeover price is a disappointment if you bought it after the signals.

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Out Robbing Banks…C and BAC

Posted on Apr 27, 2010 by WHC Bassetti.

No Per Petterson we, nor no Luce neither.  But today traders are robbing us of some of our paper profits in C and BAC.  When the barbarians are coming over the walls it behooves one to look to his defenses.

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Dow 13750? Predicting is always difficult…

Posted on Apr 25, 2010 by WHC Bassetti.

Predicting is always difficult, and above all when it concerns the future.  As Nils Bohr was fond of saying.

First of all let us make clear that we do not stand behind our predictions.  Or, as John Kenneth Galbraith said, the purpose of economic forecasting is to make astrology look good.  The interpretation of the chart above is less a question of analysis than it is a species of long term economic forecasting.  It is what is called a point and figure chart.

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Google these apples.

Posted on Apr 22, 2010 by WHC Bassetti.

Well, Apple is still throwing off buy signals.  When we read in Marketwatch that analysts are predicting $1000 share price our first impulse is to sell short.  But Apple is truly a phenomenon.  And strange that we have never owned it.  We love the company, love the computers, love the iphone — and we have dozens of studies of the stock.

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Handicapping stocks. Or handicapped handicapping stocks. Vices thereof.

Posted on Apr 20, 2010 by WHC Bassetti.

We are constantly warning readers about the dangers of speculating in stocks.  That doesn’t mean we don’t do it, but we don’t encourage it.  A bad habit, and a vice which like all vices is fun but destructive.

Which brings up an interesting question  — if we Californians legalize marijuana in the November elections will it no longer be a vice?

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