Slope of Hope Blog Posts

Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.

Chart on EWG (Mike Paulenoff)

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My near- and intermediate-term pattern and momentum work in the iShares German Index Fund ETF (NYSE: EWG) argues that all of the action from the Oct '09 high at 23.40 into last Tuesday's low at 17.97 represents a completed corrective period in that aftermath of the Mar '09 to Oct '09 advance. Let's keep in mind that current strength comes off of 17.97, which was the 50% support plateau of the entire upleg during 2009, and a sign that the EWG is trading very technically at the moment.

In addition, let's notice that at last week's low at 17.97, daily RSI established a higher low, suggesting strongly that the EWG "bears" were running out of steam. At this juncture, I am expecting the EWG to establish a near-term, base-like formation between 19.50 and 18.60 during the upcoming days prior to a run at 22.00.

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Originally published on MPTrader.com.

The Weak Get Weaker

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I used to be afraid to short stocks that were either:

+ Too cheap (single digit prices);

+ Already badly battered

But this is like avoiding buying stocks that have gone up "too much" in price (like, say, AAPL when it crossed the $100/share level early last year). The strong get stronger, and the weak get weaker.

Here's one of my best shorts in my portfolio (which is 100% short at this point, by the way):

0601-HERO