Technical Analysis
TA plain and simple – Michael Kahn
By OT83  •  May 16, 2011
Traits If you can find at least three of the following characteristics in a stock, the chances are you will pick a winner: ■ Rising price trend as more and more investors jump aboard. ■ Rising volume as investors become more aggressive in their purchases. ■ Strong, but not excessive, price momentum.Anything higher indicates that supply and demand got out of synch. ■ Strong sector. If the sector is doing well, there is likely to be enough business for all stocks in it. ■ Strong market. A rising tide raises most boats. ■ Supportive environment. Low input prices, high output prices, low cost of doing business, and favorable supply and demand in the industry. Why go up and down? The majority of investors are usually most optimistic at a market top and most pessimistic at a market bottom. The more optimistic or pessimistic the majority is, generally, the more ......
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By OT83
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