“Nobody makes money in a true bear market, not even the bears“ | The action this week got me thinking that I need to write a Duru-like missive on shorting. But since I don’t have a Ph.D you’ll just have to suffer through the following rant which I’ll try to keep relatively short. Yesterday Howard [...]
Posted by 25 April 2007
A ‘Monster’ Capitulation Daytrade
Posted by 2 April 2007
Understanding and Using Capitulation for Reversal Daytrades
Michelle B submits: LP, in a recent comment to this blog entry, expressed interest in understanding trades based on capitulation. Capitulation means that there are no more sellers for the moment, and the stock price will rebound sharply. The most important aspect is not to confuse capitulation with the low-grade drip, drip of continuing distribution, [...]
Posted by 10 October 2006
MATR, An Anatomy of a Capitulation Trade
Michelle B submits: Yesterday, at 12:45, upon returning from a break, I noticed MATR moving down hard and fast on my low/high ticker; the whole low ticker window was blocked in red. MATR hogged the window completely — there was nothing else, just that one symbol. MATR was screaming CAPITULATION. I checked out support on [...]
