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.
Yuck; what a week. I guess I shouldn't be surprised that the market stopped being fun to trade the moment Goldman was off the hook. It's like someone flipped a light switch.
Anyway, that's not why I'm here. It's more than likely that I'll be replacing the comments system quite soon with one of my own design. I've quietly mentioned this deep, deep in the comments section of some recent posts, but now I'm going to give this mention more visibility as I'd like more people to bang on the system.
There are more features coming and bugs to debug, so don't expect cosmic perfection. But take the time to set up your account and leave a few test comments on this special test page. I'll check it out this weekend to see what feedback has been left.
I'm going to spend the rest of my afternoon charting (although this has been a huge waste of time for most of the past few weeks). Win or lose, I like to be prepared, so I'm going to get back to the task at hand.
Sigh; July hasn't been kind at all to me or bears in general. I thought we'd get a "sell the news" drop today, but it seems the only "stress" going on right now is for those who are short the market.
I've hedged things somewhat with long positions in FXE and TBT, but I still have many shorts (a few dozen have been stopped out today, for obvious reasons). The 1103 level on the /ES is getting badly threatened.
I noticed last night that the stock Canadian Solar (CSIQ) is quite "Fibonacci Friendly."
The whole notion of being Fibonacci friendly is something I describe at length in my Chart Your way to Profits book, whose second edition is now available. Although, if you order it, don't be surprise if you get mysteriously inexplicable things like this from Amazon:
I originally did a post, The Importance of Time Frames, on FNSR on my blog. I was considering it as a potential short due to weakness in that sector. I thought this would have some short potential. It looked toppy on a daily short term chart. However, when I moved my time frame out, and I came up with this chart using three years and a weekly time frame. Going through that process inspired the aforementioned post.
Here's the chart, which has to my eye, a simply beautiful cup and handle formation. There is also plenty of airspace above. There is also the rocket fuel of a 25% short interest. That's generally too crowded for my taste. As is my norm, I look at vital signs, and FNSR's look pretty decent. You can conduct your own 10-point safety inspection in the span of less than 30 seconds by looking at FINVIZ's snapshot here.
How this pattern plays out is dependent on the strength of the broader market. I think that it is a decent long prospect.
Position: Long FNSR Aug calls.