Why novince investors cannot make money

139 1
After you have read a few charts from my previous topics such as “Midas Touch strategies”, you should know that you will buy stocks in rising industries.

2018 & 285 are categorized as InfoTech(Hardware&Equip) Industry by VectorVest. We are now comparing the performance in the last month i.e. 7-Jun to 7-Jul

HKEX: 2018
You may see there are 3 unhappy face symbols that tell you there is a strong resistance zone near $100. Price actions cannot break 40 SMA . The stock price is almost flat.

HKEX: 0285

You may see there is a star symbol that shows a pullback on 28-Jun. It tells you that the support trend line is significant.
As a fully technical analyst, I don’t care their company background, structures, balanced sheet, debts. But what I believe is the fundamentals value that VectorVest analysed.

Read carefully the VectorVest data on 7-Jun as below:
0285.HK: RT=1.88, RS=1.43, CI=1.76
2018.HK: RT=1.05, RS=1.46, CI=1.32

Can you spot their difference?

CI is an indicator which reflects a stock's ability to resist severe and/or lengthy price declines.
RT is computed from an analysis of the direction, magnitude, and dynamics of a stock's price movements day-over-day, week-over-week, quarter-over-quarter and year-over-year. If a trend dissipates, RT will gravitate toward 1.00

Go back to technical analysis , we now watch the moving average crossover. Do the below exercise:

Since 7-Jun, how many crossovers can you find in the following charts:
HKEX 2018: __
HKEX 0285: __
Price action bounded with the two moving averages (20 SMA & 40 SMA ) means ________________. (Fill in the blank)
If 20 SMA is above 40 SMA , then the stock price is most likely going _____. (Fill in the blank)
Comment: Exercise
Study these 3 stocks, using VectorVest, why these stocks behave such big movement since the new year started.
Wow, great homework, I'll do it right away!
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing House Rules Moderators Website & Broker Solutions Widgets Charting Solutions Get Help Feature Request Blog & News FAQ Wiki Twitter
Profile Profile Settings Account and Billing Get Help Ideas Published Followers Following Private Messages Chat Sign Out