Trading Q&A

Keep the questions coming guys and gals!

30 Nov 05, 01:17Quest: in other words, if you decide to hold a position in a stock but the stock refuses to make any significant moves, how do you decide when to close the position?

Ans: If I am trading, volume plays a part in my decision to sell. Typically, I look out for strong volume but unable to break highs for 2 straight sessions. Shooting star or a big down day with volume. This is my trading system, it's only for your reference. If I see a better breakout signal and no cash. :P

If I am investing, I will only sell if I see big bear market coming just like 2002.

30 Nov 05, 01:16Quest: if a stock price goes into a tight trading range, how does one decide the holding period?

Ans: It is anybody's guess when it will breakout. No T.A will be able to pin point accurately. You just have to learn to watch the volume. Chartered is a recent example of a few tight sessions before the breakout today. You can check my Chart request blog for the chart.