Sunday, September 06, 2009
The SPOTTING of WHEN in Make Money on the Stock Market
For the interest of fellow investors,
Buying at a good price may not make money,
yet surely gives one a grand feeling of ownership.
Just buying at the right time does make money,
it balms one with cool joy on the way to the bank.
The former is usually an act of a calculated strategy, while the latter may be said to have been the instinct of a real fluke. Or is that it ?
Fluke or not, clever technical chartists will attest to their art of doing just that most of the time, while their skeptics maintain that they are just masters of alacadabra. Well, while the technicians scan at their complicated charts and the seers peer into their crystal balls they both do survive, and live quite well among us.
These aside, are there other ways to spot this timing ? To most people there is not, but to keen and sharp observers there is. Presently, under the computerised trading system, the trading process is open to participants, on the personal computer screen, transmitted from the broking companies.
The Time&Sales column tells the action of the trading while other information show the status, results and other statistical data. The Time&Sales is the column to watch in conjunction with the Price/Buy/Volume and Price/Sell/Volume figures. The action in these columns will reveal whether the shares of a counter are being accumulated or distributed, these are actions engineered by the BigBoys, the market movers. They do not actually move the market, it is their action which moves it. First they accumulate a sizable portion of the freefloats from which they distribute, or distribute what they have or borrowed and later accumulate back; and that is how the share price rises to its zenith or falls to its nadir at the end stage of the frenzy.
So, the trick here is to detect this kind of action. This occurs when the volume shows sizable activity. There are days when there are more selling than buying and yet the share price rises marginally; and vice versa, the share price falls marginally when there are more buying than selling. These are actions investors do not see unless they are aware of it. The BigBoys do not chase shares, they do not overbid and undercut; they just put their bids and queue, loading or unloading, and let their monkeydogs lead the punters. The monkeydogs are clever at buying and selling one lot shares, or negligibly small lots, now and then opportunely to maintain the buying and selling momentum while the BigBoys keep replenishing the supply or demand at the queues. With strategies like these the BigBoys are able to purchase treasures at the front yard and selling lemons at the backyard at giveaway or snap-up prices without punters losing their interest. How else are they called the BigBoys ?
Being in step with the BigBoys any time will be the right time.
Ron
Buying at a good price may not make money,
yet surely gives one a grand feeling of ownership.
Just buying at the right time does make money,
it balms one with cool joy on the way to the bank.
The former is usually an act of a calculated strategy, while the latter may be said to have been the instinct of a real fluke. Or is that it ?
Fluke or not, clever technical chartists will attest to their art of doing just that most of the time, while their skeptics maintain that they are just masters of alacadabra. Well, while the technicians scan at their complicated charts and the seers peer into their crystal balls they both do survive, and live quite well among us.
These aside, are there other ways to spot this timing ? To most people there is not, but to keen and sharp observers there is. Presently, under the computerised trading system, the trading process is open to participants, on the personal computer screen, transmitted from the broking companies.
The Time&Sales column tells the action of the trading while other information show the status, results and other statistical data. The Time&Sales is the column to watch in conjunction with the Price/Buy/Volume and Price/Sell/Volume figures. The action in these columns will reveal whether the shares of a counter are being accumulated or distributed, these are actions engineered by the BigBoys, the market movers. They do not actually move the market, it is their action which moves it. First they accumulate a sizable portion of the freefloats from which they distribute, or distribute what they have or borrowed and later accumulate back; and that is how the share price rises to its zenith or falls to its nadir at the end stage of the frenzy.
So, the trick here is to detect this kind of action. This occurs when the volume shows sizable activity. There are days when there are more selling than buying and yet the share price rises marginally; and vice versa, the share price falls marginally when there are more buying than selling. These are actions investors do not see unless they are aware of it. The BigBoys do not chase shares, they do not overbid and undercut; they just put their bids and queue, loading or unloading, and let their monkeydogs lead the punters. The monkeydogs are clever at buying and selling one lot shares, or negligibly small lots, now and then opportunely to maintain the buying and selling momentum while the BigBoys keep replenishing the supply or demand at the queues. With strategies like these the BigBoys are able to purchase treasures at the front yard and selling lemons at the backyard at giveaway or snap-up prices without punters losing their interest. How else are they called the BigBoys ?
Being in step with the BigBoys any time will be the right time.
Ron