This blog is loosely based on Tom O'Brien's Timing The Trade System (TFNN.com). It also uses Jack Chan of www.simplyprofits.org who provides public charts at www.stockcharts.com The diligent (not just geniuses) who control their emotions, will flourish in these efforts using this effective investment strategy. Use any system advisedly -- multiple technical tools need to be understood and employed to foster success.
Monday, January 23, 2012
Weakness in Volume: AWK
The stocks, like the market appear to have risen in price without underlying fundamental market demand. Motley Fool rates this "one of the 6 best stocks". But the PEG is 2.02 -- talk about over-valued! growth estimates for the sector are 40% in 2011, but just 3% in 2012. It goes ex-dividend 2/1/12.
Notice how the current Stochastic over-bought condition has signaled a price-drop 9 or 10 times in a row!
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