Friday, October 24, 2008

A Panic Day

Today may be one for the record book. As stock futures point to a blood-bath today, one must wonder were the bottom truly is. If the Dow Jones industrial average falls 1,100 points before 2 p.m., the market will shut down for an hour. If this level is broke between 2 p.m. and 2:30 p.m., the halt will last 30 minutes. Trading would stop again if the Dow falls by 2,200 points. If the Dow falls by 3,300 points at any time, trading would be halted for the day. Let's watch the carnage unfold.

Try to have a good one,
Roger

Thursday, October 23, 2008

Insider Buys as an Indicator

I believe that insider buying, as well as institutional buying, is as good of an indicator as many technical ones. Setting aside stock repurchase plans often used to reassure investors and support stock pricing, one can see the purchase of an equity by the owners of that equity as a very bullish act since those on the inside often have privy to information that may lead them to think the stock is headed higher. Also bullish are mutual funds accumulating a position in a particular stock. Fund managers definitely buy what they think is going higher. You can see insider purchases on several websites including Yahoo Finance, and institutional buying can be seen at www.thebuylist.com.

Have a good one,
Roger

The Ride Continues

Anybody getting a little sick of the rollercoaster yet? While the market is poised for yet another rebound today, you might wonder how long this action is going to last. With 3rd quarter foreclosures up over 70 percent the news keeps getting a little more scary as Halloween draws closer, but is this anything new? Just keep focused on the value being created and let Stock Assault 2.0 do all the work.

Have a good one,
Roger