IS IT BULL OR BEAR ? HOW STABLE WOULD AN INVESTMENT LIKE THIS BE OVER THE LONG TERM ?

Exxon Mobil Corp. (NYSE:XOM – news), the world’s largest open oil company, reported progressing upon Thursday which quarterly distinction surged 35 percent to some-more than $10 billion.

{ 4 comments… read them below or add one }

no1special August 27, 2010 at 12:36 pm

BULL!

waterdancer August 27, 2010 at 12:51 pm

uncharted waters

katrina_ponti August 27, 2010 at 1:11 pm

Right, bull.. however, I would not adventure at this time in any long term position for the simple reason that we are faced with substantial volatility ahead and no one knows for sure the direction.

I am more bullish on stocks than bonds, however, I suppose we could have substntial volatility in the near future and if they goose the US dollar, I will use the opportunity instead to foreign government bond holdings.

But the same is not true when asset prices were falling so far and fast that the fabric of business and consumer confidence seemed to be threatened.. further turbulence in oil markets will have a negative impact on any growth.

The Markets are in War, just as the countries are in War, we are in War against the Market Operators. Use your TA methods and others, but, temper your judgement, for they are using “painting the screen” to persuade buying. Its been going on for years, however this time it is different.

I have seen individual TA indicators fail more often lately. It’s fooled me a few times. In order to get a better perspective on the market these days, you have to use a whole arsenal of TA and know when individual ones are failing. I have expanded my use of the indicators in the last year as well as how they correlate with patterns in the market and it becomes obvious what is going on.

Since we invest our precious capital on the basis of probability rather than possibility, we therefore believe that this is not the time to go long. Of course, assertions without the proper foundation of evidence may lead to inaccurate conclusions.

Btw if you are real nice i’ll tell you the high for this week as well. lol

Dirtt August 27, 2010 at 1:23 pm

Katrina sums up the difficulties in going long. But volatility is not a bad thing when you are trying to make money. UNLESS you happen to turn your back.

I’m holding off on equities until later in the year. I have perhaps what you might call a “pounce” strategy. I’m bullish on certain pure play optic and networking stocks that are getting smacked around right now. I am hugely bullish on the strength of their business model going forward 36 months. I’ll take positions just before I feel the dust has settled.

If had the willingness to go into Exxon then I would play the LEAP option contracts. You preserve precious capital and enjoy five-fold increases if the stock begins to move up. And use tight stops perhaps around 7-10% to the downside. If you are trading then hopefully you have a system that monitors real-time price and volume.

Good hunting.

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