Open Letter to @szaman

2015-03-25_1351

Wanted to begin by saying thank you for the countless charts you’ve shared. I’ve been piggybacking off your work for years.  One of the last things I do after conducting my scans and before going to bed each night is to check the blogs of several accomplished chartists, yours included. I use @feedly which means instead of navigating to various websites, everything is sent directly to me.

Sometimes when I see a particularly compelling setup.. for sake of ease I’ll just straight up screen capture it right there and publish to twitter. Usually, I let the reader know where I got it. In fact, you may not remember, but I used to tag you often.

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However, not once did I get so much as a favorite, let alone a response. After a while I figured you did not care. Which made sense to me, because I don’t care.

I say spread my charts far and wide. Go ahead, do so without attribution. I know deep down that what goes around comes around, and besides.. imitation is the sincerest form of flattery. Acknowledgement is simply a welcome bonus.

So yes, I selected FSLR as the best chart from your watchlist on Monday, shared it, and you only noticed because I was right.  Let it be known that never did I claim it as my pick, nor my chart.

Equally important is this: Avid followers will attest to my regular twitter community give back.. by way of hat tips, compliments of, frequent follows, re tweets, shout outs, etc. What you see above is not an exception.  Please add a logo to your images if you feel it necessary, but one should not expect to always be cited in a transitory, micro blog format.

In closing, I respect your skills & do not thrive on confrontation.  I share the best charts I can find.  Recently one of yours fell into my lap.  I sincerely wish you & the entire bulls crew raging success. I will also let you know the next time I fancy one of your charts.

Cordially,

@chartseer

2015-03-25_0214

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2015 Action Plan

I am working hard to let the following conditionals guide my daytrading:

When it comes to going long—

<< General Requirements >>

Basic mechanical framework for deliberate beta capture (versus acting spontaneously)
1) Market open at least 10mins, with minimum 20mins left in the session
2) No longs if SPY is red by more than one percent
3) Relative volume: run rate minimum 5% greater than SPY.. stocks w/ light volume = no trade
4) Stock is trading up between 1% & 10%
5) Average daily volume no less than 300k
6) No market order until at least 10mins on watch.. avoid impulsivity
7) No limit order until at least 5mins on watch.. never buy tips or scan hits w/ immediacy
8) Stop loss must be determined prior to inserting buy order & is not to be more than 2 tics below 15min 20sma
9) Place stop loss in order book immediately following entry

<< Technical Requirements >>

Mandatory moving average locations (adherence to which prohibits counter trend trading)
10) Price above daily 8sma
11) Price above hourly 8sma
12) 15min 8sma positioned above 20sma
13) Seek to execute near rising 15min 8sma with stop below 20sma

Overheated indicators (fools rush in)
14) Price must not be near or above daily upper bollinger band = froth, too overbought*
15) Price must not be near or above hourly upper bollinger band = relax, wait for 15min pullback to 8sma*

*exception: allow for entry above upper bollinger bands when they’re contracting, especially after prolonged pinch, or even when they just begin to expand.. but after multiple bars & cycle of volatility, banging on upper bollinger band —avoid setup.. sheep chase / too late

And then conversely, when shorting—

<< General Requirements >>

Basic mechanical framework for deliberate beta capture (versus acting spontaneously)
1) Market open at least 10mins, with no fewer than 20mins remaining in the session
2) No shorts until SPY trades below open for at least 15mins
3) Relative volume: run rate minimum 5% greater than SPY.. stocks w/ light volume = no trade
4) Stock is trading down between one half & 5%
5) Average daily volume no less than 300k
6) No market order until at least 10mins on watch, avoid impulsivity
7) No limit order until at least 5mins on watch, never buy tips or scan hits w/ immediacy
8) Stop loss must be determined prior to inserting short order & shall not be more than 2 tics above 15min 20sma
9) Place stop loss in order book immediately following entry (never more than 1%, lessen size if necessary)

<< Technical Requirements >>

Mandatory moving average locations (adherence to which prohibits counter trend trading)
10) Price below daily 8sma
11) Price below hourly 8sma
12) 15min 8sma positioned below 20sma
13) Seek to execute near declining 15min 8sma with stop above 20sma

Overheated indicators (fools rush in)
14) Price must not be near or below daily lower bollinger band = blood = too oversold*
15) Price must not be near or below 15min lower bollinger band = relax, wait for relief rally

*exception: allow for entry below lower bollinger bands when they’re contracting, especially after prolonged pinch, or even when they just begin to expand.. but after multiple bars & cycle of volatility, banging on lower bollinger band —avoid setup.. sheep chase / too late

**rules are subject to change, but only after the market has closed

2015-01-11_1950

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How I Use Twitter + Something New

2014-12-07_1106

I really like twitter.  I knew I would.  I studied it for a few years before joining.  Once I began tweeting, I was certain it would become an integral part of my life online.

I am however cognizant of the noise it can generate.  I use the list feature to drill down on people whose main focus is on upcoming actionable info.  Sadly there are not many users of this type.  The great majority are either talking up their book, or frequently off topic. What’s worse is when people tout their wins yet make no acknowledgement of their losers. I find such behavior to be utterly deplorable, so I made a pact to do neither.

Instead, I simply share my ideas.  Once a stock starts moving, I leave it for others to bandy about. I’m not going to celebrate winners with exclamation points & sky high expectations, nor will I whine about or lament a loser. For example, ‘updated’ charts after a stock has moved.. cui bono? —there’s no value in these other than to support one’s ego / marketing agenda.

I’d rather offer up a new opportunity.

Of course, there’s an expectation that the reader must always make his or her own decisions. It’s your money. It is not important what I’m doing.  What matters is: do you like a particular setup?  Can you define tolerable risk? If yes, create your own plan to capitalize on it.

Due to my steadfast belief in autonomy, I’ve rarely felt the need to provide a disclaimer.

★★★★★

Second item: If you’ve been following me for awhile, you have probably noticed that I’m capable of churning out a ton of suggestions.  I wanted to come up with a way to emphasize some of my favorites. I’ll only share with you the things that I believe look good, but occasionally they seem fantastic. How to differentiate?

I’m going to try something new over the next few weeks.  When you see stars in a tweet of mine, these are the setups I’m focused most intently upon.  Not everything will be rated, but assume five stars is best, & I’ll use that designation sparingly.

As always, thank you for your interest in my work.

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$GTRQ Geotraq Inc. 14¢

Attractive pennystock, nearing breakout.

“GeoTraq is leading a revolution in the personal tracking industry by using Cell-ID with all its inherent advantages over GPS to provide solutions for a great variety of tracking applications. GeoTraq is developing and marketing one of the world’s smallest, least expensive and most user-friendly personal tracking devices with the longest battery life in the world. This patent pending module is easily adaptable for many different applications making GeoTraq the “one-stop-shop” for custom tracking solutions.Our proprietary technology is based on Cellular Triangulation is a process by which the location of a radio transmitter can be determined by measuring either the radial distance, or the direction, of the received signal from two or three different points.”

2014-11-30_1951

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Hump Day Soirée

Coming up on Wednesday of this week, two of twitter’s finest market cognescenti, @stt2318 and @sandman7591, will present themselves in an open forum Q&A chat session. I encourage everyone to come for a visit. Bring questions about swing trading strategy, or even individual stocks. Maybe you have a chart you think is ready to burst? Let’s discuss it and build a watchlist together.

The webinar begins at 7pm EST, but since the venue is the same place as our intraday chat, we’re opting to open it up all day. Things usually get going a couple of hours before the morning bell. Join us if you can and lurk only if you wish. That’s okay too.

Click here to confab: http://bit.ly/2318chat

This is going to be a fun day with about 100 people in attendance. Hope you can make it!

(The room will be password protected until Wednesday. If you want to join us earlier in the week, include your email address in a comment below, or hit me up on twitter @chartseer, and I will reply in a direct message with the key.)

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