- The evolution of cooperation, by Robert M. Axelrod
- Good capitalism, bad capitalism, and the economics of growth and prosperity by William J. Baumol, Robert E. Litan and Carl J. Schramm
- A splendid exchange: How trade shaped the world by William J. Bernstein
- The elusive quest for growth by William Russell Easterly
- Invisible engines: How software platforms drive innovation and transform industries by David S. Evans, Andrei Hagiu and Richard Schmalensee
- The ascent of money by Niall Ferguson
- Economic gangsters: Corruption, violence and the poverty of nations by Raymond Fisman and Edward Miguel
- Capitalism and freedom by Milton Friedman
- The great crash of 1929 by John Kenneth Galbraith
- The age of uncertainty by John Kenneth Galbraith
- Exit, voice, loyalty by Albert O. Hirschman
- Development, geography and economic theory by Paul Krugman
- More money than God: Hedge funds and the making of a new eliteby Sebastian Mallaby
- Reinventing the bazaar: A natural history of markets by John McMillan
- Readings in applied microeconomics: The power of the marketedited by Craig Newmark
- From the corn laws to free trade: Interests, ideas and institutions in historical perspective by Cheryl Schonhardt-Bailey
- Seeing like a State by James C. Scott
- The company of strangers by Paul Seabright
- Information rules: A strategic guide to the network economy by Carl Shapiro and Hal R. Varian
Sunday, May 22, 2011
Friday, May 20, 2011
After the stock prices crossed the MA, there was sustained buying all day long. The best thing is to get out of the position even for a small loss when the stock prices cross the MA. This the rule even for day trading.
This is a five day chart.
If one has position on a stock with 30 MA in view and following the trend analysis it is better to just wait at least 4 days if the stock goes against your position. Because if the
analysis of trend is right the stock will follow the trend to the bottom or the top.
If one is doing day trading then one has to observe the day chart and follow the day chart MA. If one does not follow the day chart one will have idea when to sell and when to buy and the day trend. One has to be very discipled and follow the Day Moving average impeccably. The hard facts are on the chart. One should not guess because the stock market does not follow any individual analysis. It is an aggregate movement and unpredictable.
for example on 5/16 the stock went up and closed lower on day trading. Any way if one follows the rules of day Moving average, one can get out of position with the minimum loss when the stock is moving against position.
This is an important post.
|Net Profit Margin||-1.73%|
|Shares Outstanding||100.80 Mil|
|Market Cap||3.3 Bil|
Stock went down by 15 percent. I was thinking the total volume of shares floating is 100 million. Today's volume is already 10 M. Heavy selling. Unless new buyers come in, this stock will go down.
1. Should have shorted at day opening at 8 percent down. But its hard to guess, if the 8 percent down was temporary and it will recover in the mid day or it is permanent with heavy volume like today.
But the ration total shares/ today volume is approximately equal to the percentage of price down. I mean only during heavy volume days or heavy buying days.
Stock hitting resistance at 27.5 already 15 % down. They can drop more too depending on how much speculative accumulation of stock happened before. Need to study these models further, that fall down from the top with heavy volume. Usually a signal for down trend to begin. Need to study the single day chart. Same thing happened to OPEN a few days back.
OPEN dropped to 87 on that big sell day from around 92. But one should not bet that the stock will go up for sure the next day. It usually does, but there are cases like HEES, where the stock kept dropping and dropping.