Tue 11 Jul 2006
Here’s stocks with a PR of 9 today: NTG, ILE, IDCC (down 21% yesterday!), FSII, ENZ, DXPE, COGO, ASPV
Here’s stocks with a PR of 1 today: AD, GGXY, LSCP, SBIT
Note that COGO (down 5.72% yesterday) and ASPV (down 5.00% yesterday) were rated 9’s yesterday, so these are worth watching since they’ve been 9’s for 2 subsequent days.
FMD had a PR of 9 on 7/7, 7/10 and currently has a PR of 8 today 7/11. Just check out it’s 5 day chart to see just how bland it’s been…although it could be argued that it’s just a coiled spring. Quicksilver, do you see a chart pattern in FMD?
July 11th, 2006 at 8:57 am
I just looked up USG and it has a Power Rating of 8… Yowza!
So, both COGO and ASPV were rated 9 yesterday, but they both went down more than 5%? I’m curious how they will turn out after a couple more days, but that is a tough start if you had bought them yesterday…
July 11th, 2006 at 9:14 am
FMD bland? Am I looking at the same stock because it basically fell off a cliff 2 days ago, dropping from 56 to 46 in one day. I don’t see any patterns but I do think that after a drop like that, the most likely thing is consolidation. Which leads me to wonder, if the PR system is essentially stocks that have dropped strongly, then the must be trying to grab the first wave of the consolidations that typically form afterwards. So my real question is, do the PowerRatings give you exit calls? Or is that that up to you? When they report their “backtests” what is the criteria for when the stock was exited? Sometimes what these signal services do is report the best-case scenario or the highest high reached, which would require foreknowledge to actually trade. In general, that’s a good filter for service providers: are the backtests based on well-defined and tradeable entry and exit rules or are the entries and exits selected after the fact.
July 11th, 2006 at 9:15 am
I can say that 46 looks like it was a magnet level to some degree and thus created the floor, but not sure what that means for the future and consolidation is just as likely an event as anything.
July 11th, 2006 at 9:06 pm
No exit calls for PowerRatings–just the suggestion to only hold them for 5 days or less. The “backtest” info is extremely vague and no detail is provided. Sorry about my vague comment about FMD being bland–that was a very poor attempt at sarcasm. How can a stock swing so much only 3 days ago then taper into a very tight range….definitely felt like something was going to move there…
July 12th, 2006 at 9:42 am
Well, mean reversion. A stocks volatility is likely to revert to the mean so one should expect an exhaustion after a big move most of the time. When you run a sprint what do you feel like when you cross the finish line?