My friends that know the " Old Fart Plan" , as taught in the whiteknightmoving chat room, can see the great "buy signal" that we are getting on the weekly chart as shown here. INTC has gone nowhere but sideways for 19 years. However it has finally begun to touch the lower green Buy Line recently. That is the sweet spot of time and price. Now the stock is oversold and undervalued. It has a very nice 10.7 P/E ratio and also has a healthy dividend. This stock should be purchased for our long term portfolios. I am excited about it and will begin to try to purchase on sudden deep pullbacks that allow a cheap price buys
It's the 5G WK. Looking forward to another great investment. Thank you, sir!
TradeBullBear
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in 2000, stock price is around 70+. how did the chart show ~49 ?
whiteknightmoving
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@TradeBullBear, I use log charts that are dividend adjusted. Most traders (99%) don't use dividend adjusted charts. However when a stock pays a dividend it is important to realize the stock price "gain" is being payed out every 90 days. This makes dividend paying stocks look weaker than non dividend paying stocks. I find this unique way of charting is more accurate to determine stock performance.
@whiteknightmoving, Nvm. I figured out how to adjust for dividend. Thanks for the explanation. would like to understand why do you prefer to use log chart than normal chart?
whiteknightmoving
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@TradeBullBear, log charts are unique in that they can show you the true momentum of a stock visually. a regular chart will make a stock look like a hyperbolic chart as its price gets higher in the end. Lets say you have a stock that is $10 now and it goes up another $10. That is 100% gain right?
Then take a $100 stock and it also goes up $10. That is just a 10% gain. ... now... although both stocks went up $10 the log chart would visually show you the weaker momentum of the $100 stock quickly and not mislead you into thinking the stock is still as strong as the little $10 stock.
Play around with heavy dividend playing stocks. switch back and forth with the dividend adjusted and non adjusted charts... look at the difference it makes over time :)
TradeBullBear
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@whiteknightmoving, Thanks for the kind explanation. I now understand . no one had explained it that clearly than you. Have a nice day.