CANSLIM & Momentum Investing 02 (Aug 09 - Dec 24)

[kennynah]

thanks a lot...

you have managed to confuse me already....

[bulltick]

So is last night's movement a distribution?

Based on IBD definition, distribution day will only be counted when it is down with higher volume compared to previous session. Think yesterday loss is too low(<0.1%) to be considered as a distribution day. Somemore it closed off intraday low.

Maybe our CANSLIM sifu MM can help to elaborate further.

Personally, I think IBD Follow through/correction mode is like MACD(only price trend is considered) with volume analysis.

[kennynah]

by strictest definition, and if i am not wrong, it has to meet 2 conditions :

a) higher volume
b) losing more than 3% in value

but these are just guidelines...

[millionairemind]

So is last night's movement a distribution?

Based on IBD definition, distribution day will only be counted when it is down with higher volume compared to previous session. Think yesterday loss is too low(<0.1%) to be considered as a distribution day. Somemore it closed off intraday low.

Maybe our CANSLIM sifu MM can help to elaborate further.

Personally, I think IBD Follow through/correction mode is like MACD(only price trend is considered) with volume analysis.

Me no sifu.. just a small soldier still learning from the market sifu.

Yes, distribution day is counted when it drops more than 0.2% on higher volume than previous day.

[kennynah]

thanks for not embarrassing me MM....

i wrote "drop 3%"...when 0.2% is sifficient a criteria...wah dao eh....i am definitely not in sync with canslim...although, lately, the wife have been suggesting that if i try hard enough, i "can slim" down....wahahahaha

[lithium]

OK, so no distribution yet. BUY BUY BUY again!

Shanghai clearly had a distribution yesterday. but maybe Shanghai CANNOT SLIM

I see strong support at 2360........ it did bounce today, many stocks are cheap cheap cheap, so I catching falling knifes again.

[lithium]

So gang, there we have a huge distribution day. Does Oneil cuts all his positions immediately and wait for the next follow thru?

Or he cuts only when his stock close 8% below it's buy price?

[winston]

Ha Ha ... you must be an Engineer or Accountant. Everything must be precise

In my initial career, we use probabilities and always try to priced in worst case scenarios, for margins of safety

The more important question to ask is whether CANSLIM is 100% accurate, whether it's applicable to local conditions and if not, how can it be improved...

[lithium]

Aware that no method is 100%, otherwise everyone will be millionaires.

Just want to learn how Oneil make decisions here.

[winston]

Ha Ha ... O'neill will say that you should not have bought the stock in the first place. Market Direction is only one of the 7 things that he looks at...

The Current Earnings and Annual earnings were not up 20%, there was no new NEWS (catalyst) and you were not buying a Leader, there was no Sponsorship while the Relative Strength for the Industry and the Stock is weak.

I used to religiously pick up my copy of Investment Daily very early everyday, analyse the charts at the back and then quickly executed my order, thinking that I would be front-running the others.

Then one fine day, I realized that they could have being front-running me, that I consistently bought at a high price and never had a margin of safety

Early morning, i cucok here, ok ? ... Ha Ha