Wednesday's markets produced only 19 bull and bear signals. Of them, only one symbol that made it past the first round of analysis: CJES. (See "Thursday's Prospects".)
The first round requires, at minimum, that over the past year, more than half of a stock's or fund's trades in the direction of the most recent signal have produced a profit. In other words, I'm looking for a greater than 50% success rate over the past 12 months.
CJES, a bull signal, has been successful 100% of the time with bull signals over the past year.
However, the day after the signal, the price dropped back into the 20-day price channel. That's a failure to confirm the signal, rendering it invalid.
My supplemental list of innovative companies produced no bull and bear signals for consideration in the first round of analysis.
So I have nothing to analyze today, much less trade.
I shall spend my newly discovered free time meditating on the great strength enjoyed by private traders: Our ability not to trade if there's nothing worth trading, unlike the professionals, who must trade to prove they're earning their paycheck.
-- Tim Bovee, Portland, Oregon, Sept. 25, 2014
References
My shorter-term trading rules can be read here. My longer-term trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here.
Disclaimer
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.License
All content on Tim Bovee, Private Trader by Timothy K. Bovee is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Based on a work at www.timbovee.com.
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