Ukraine right now.
Heartbreaking.
It’s not over yet.
Back when I was just a pup
-Even though I was 30 in the Gulf War-
I used to say that I’d be more prepared
For the next war.
Cuz there’s always a next war
When you’re in the US Army.
It’s what they do. They / we fight.
All the time. We fight.
My mother would have hated this.
She was a Hippie at heart.
Sorry, Mom!
But a contract is a contract is a contract.
I bought stock in Mobil/ Exxon.
Gas Prices are the highest ever.
The. Highest. Ever.
Will they suddenly drop?
My guess is - no.
Not anytime soon.
I’m not exactly Daddy WarBucks.
I bought a fractional share.
You can buy $10 of stock if you want.
No fee.
(Fidelity is who I use - I have no affiliation)
I actually told myself
I wasn’t getting up from my chair
Until I bought one fractional share.
Any stock. Anything!
Just freaking do it already!
Put something in place.
Quit talking about it and do it!
Poop- or get off the pot.
Altogether I’m out a little more than $100.
So it’s like paper trading.
But with real money.
Baby Steps!
I also bought General Dynamics.
They make tanks.
Now. Let’s think this through.
Ukraine has asked for tanks.
Do you bet we’ll supply them?
Or not?
Someone, somewhere is getting some tanks.
And someone, somewhere is going to supply them.
But stock prices are not just News based.
Stocks have a life of their own sometimes.
Or so it seems.
EnterTechnical Analysis. TA.
Here how to read a chart.
Todays General Dynamics.
Just looking at the price won’t tell you much.
That’s the blue mountain.
Up? Down? All around?
What’s next?
You have to look under the hood,
So to speak.
Just like looking at HRV etc,
The stocks have patterns can that predict trends.
Anything can happen with stocks.
The company might close.
You might get ambushed in the woods!
RobinHood is a stock force
To be reckoned with.
Thousands of investors get together and
Swarm a stock. It changes the price.
Now I’m not a stock person.
I’m not an advisor etc.
I’m just a Fattie who likes to learn things.
And play with Fergus. My cat.
This is just what I’ve observed.
It’s not always right.
But it’s the next best thing.
It will do until the Real Deal shows up.
Onward we go! Class is in session.
See the top graph? The blue line?
That is the Moving Average.
It’s an average of the daily closing price.
This is actually an Exponential MA.
But it does basically the same thing.
The moving average supports
the price trend, generally-
Above or or below it.
Or crossing it.
I added the red and green arrows
To emphasize what I’m saying here.
When the price goes above or below
The MA, it usually gaps up.
Or down. When it crosses that line again,
The direction has changed.
[Think of another oscillator - MACD-
Moving Average Divergent Convergent.]
The wider the gap between the price
And the MA, the more the price is changing.
👀
Now, see the bottom graph?
Stochastics. My favorite.
Stochastics chart the highest highs
And lowest lows.
When it goes up with the price-
There’s going to be upward movement.
When it crosses that line-
The price goes with it!
It follows the trend
And predicts it at times.
Stochastics are like how we shop in real life.
We wait to see if a price goes down
And keeps going down,
Before we buy. Or we wish we did.
Another example.
This is Apple. Beloved, immortal.
Going up? Down?
Maybe down?
Maybe a sideways channel?
Inside the Chocolate Factory,
Behind the scenes,
We find the Opmpa Loompas
-Accountants and Brokers-
hard at work!
.
The gap between the price and the MA is closing.
Looks like it might dip below.
Now see the Stochastics.
They’re saying it will go down!
Bear down, girl!
It will be fun to see what happens
The next few days.
I’ll definitely post it.
One more example.
The Vanguard S&P 500
It’s an Index. That’s like a Mutual Fund.
It has stocks from every sector.
They are trading the whole Group.
It has it’s ups and down.
It’s the pulse of the whole market.
But watch closely, now.
The MA is crossing the price line.
Even though the price went up a beat!
But the Stochastics point down.
Almost straight down!
We’re going into a bear market.
Reading charts is like
Seeing cultures in a microscope.
It’s like knowing your cycle for
When to make a baby.
Or knowing when to harvest crops.
Or testing for blood glucose.
Read charts. Don’t guess.
We’re not in the Dark Ages
Of hopeful guessing.
No blindfolded monkey
throwing a dart at a chart,
and hoping for the best.
(Although that’s a close second.)
We weight-loss people read charts.
Up down, sideways stall.
Anything can happen.
But generally, it works.
There you have my total span of
Stock Market Trading knowledge.
I still read Investopedia daily.
Fidelity has lots of beginners videos.
I opened this account years ago,
BTW, and never put actual money in it.
I made watch lists, and tracked data,
Waiting and watching.
And practicing on paper …
Till now!
It’s an exciting time to be sure!
It’s an exciting time- to be sure.
No comments:
Post a Comment
I would love to hear from you!