Here’s the chart:
Here’s my eight year old son’s opinion on this chart:
“There is an uptrend from $1 to $1.70, and then from $1.70 way up to $2.70, but then it has a big loss of money from a bit more than $3 around April all the way down to $1.05 in June.”
I would add that we have an obvious double top, and the second uptrend line has now been broken. Even Mr. Dines has it as a wait, so I think I will sell and try to buy back later. It’s never bad to free up some cash for future purchases.
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What do you think about stop losses to protect your capital and profits for U3o8 type stocks ?? ; I use them on more stable finncial stocks and wished I had had them in place in 2000 on Nortel; Microsoft; JDS Uniphase; EMC etc…!!
On Dec 4 I got stopped out on PNP because of the OSC issue grrr at my stop loss of 12.61 which was well below the trading price and so lost a lot of my gains.
Any thoughts on this strategy…??
I am a big fan of “mental” stop losses, but I don’t like actual stop losses placed with a broker.
On each of my holdings I have a mental stop loss just below the uptrend line (in the Titan chart the stop loss would be around $2.60), but I normally wait a day or two after the uptrend line is broken before selling, just in case the blip is temporary (like what happened to Pinetree on December 4). That way I can use my judgment, as well as technical analysis.
I don’t like actual stop losses for the reason you mention: you may get stopped out due to some temporary external event.
Of course, a mental stop loss takes work: you have to keep an eye on your portfolio so that you can sell when required.
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