Re: Buy time again
in response to
by
posted on
Oct 11, 2010 05:52AM
Fully agree. Let's just sum up the signals here:
1. RSI clearly in oversold territory;
2. Candlestick pattern is an engulfing bullish line, meaning a red candle followed by a white one, of which the latter shows a lower opening than the previous day's close with a higher close on the last day;
3. Should we go up from here then there's a higher bottom in place, where there was lower-volume selling than we've seen with the previous two bottoms;
4. MACD still undecided, this is the only signal that still needs some higher closes to turn bullish;
5. Stochastics also nearing oversold territory.
Altogether a pretty good time to buy and I am actually seriously considering this at the moment. It means that I would have use up my cash which was supposed to be for re-entering some other shares that I sold because they were overbought. But this is a chance that you don't see every day. For all those who are complaining about the lack of bullish action that we've seen over the past months, go and do something else. The stock market is not your cup of tea. You need to be patient if you want to be successful.