Thursday, April 3, 2014

Thursday's Prospects: Round 2

There were a larger than normal number of non-confirmations among the survivors of my first round of analysis. (See "Thursday's Prospects" for a full list of first-round survivors.)

Most of the others were bull signals within bearish charts, and one had a divergence between the bull signal and a bear rating from Zacks.

That left FUL as the best of the lot, and a preliminary chart analysis shows that it is quite advanced in its uptrend. It fact, it may well have ended its rise from its Great Recession low in 2009.

I've decided against doing a full analysis of FUL and don't intend to place any trades off of today's prospects list.

Click on chart to enlarge.
FUL 20 years monthly bars (left), 6 years 3-day bars (right)

My shorter-term trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here.

Elliott wave analysis tracks patterns in price movements. The principal practitioner of Elliott wave analysis is Robert Prechter at Elliott Wave International. His book, Elliott Wave Principle, is a must-read for people interested in this form of analysis, as is his most recent publication, Visual Guide to Elliott Wave Trading

Several web sites summarize Elliott wave theory, among them, Investopedia, StockCharts and Wikipedia.

See my post "Chart Analysis: Nomenclature" for an explanation of my method for labeling waves on the chart.

Tim Bovee, Private Trader tracks the analysis and trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.
No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decisions for his or her own account, and take responsibility for the consequences.

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