First, I hold Ford stock and 55 option contracts dating June '13, Sept. '13, and Jan. '14 .. I sold 20% of my holdings on at the end of last week ... that's my disclosure.
My opinion is that Ford will consolidate here, possibly add another $.30 - $.50 going into earnings ..... and then what? The very high RSI is a major concern and could result in a substantial technical pullback of up to 10%, Although I do not think that is going to happen with all the positive press, institutional buying, and so on .....
Your thoughts? PLEASE .... only those with reasonable replies with thought respond .... and Thank you.
Barry, I'm a long term investor in Ford. For me, I don't pay any attention to RSI's or any other type of financial companies that predict a companies future by their tea leaves and past performance.
I'm always looking forward. Sometimes a few years in advance.
As far as I'm concerned all you need to look at is the age of vehicles around the world. The best and most affordable cars with great gas mileage is the name of the game.
I look at Ford as number one and GM a very close second. American made cars are being considered by a majority of lower and middle class americans.
The bottom line is, I use my gut instict and study a companies products and usefullness for the mass buying public.
As far as Ford goes, I watch the volume and trends on an up or down day in the market.
It looks like F has made some great strides in the last month beating out the market on both situations.
The smart money seems to be in it.
Dude, I am sure trading with your gut instinct works very well for you and you are a superior trader, but unfortunately others can't trade on your gut instinct so your post really doesn't help the original poster much.
Cut & pasted from a post I made yesterday...
Legs without gaps! The best the lions,tigers & bears can come up with is RSI. NOTHING else about fundamentals. ....even our resident FUDsters had been toting the old "Good company, bad stock" and now Ford is becoming a better stock. Speaking of the RSI/overbought short players....RSI was in overbought territory for 4 consecutive months back in early 2010. Just reentered overbought territory a week ago and the entire move is without a single daily gap. Looking at history, I'd say at least a couple months of high RSI has been the norm when F makes a substantial upside move. Bears looking like eager beavers way early in the game.
Buy with both fists,
Sentiment: Strong Buy
Agree about the RSI, 80's I believe last I checked---I'm still trading on a more or less daily basis, but t the same time being careful on the buy and sell---simply try to catch the low, and following the RSI on the way up---F doesn't always act in the way other stocks do dealing with the RSi, you can get a sell off in the mid 50's, andI've seen it run into the 80"s when the market is on a run---that happened the other day and I missed it----I feel F is going to run into the 15's, before the next 60 days and we get into the blood bath in D.C. to raise the debt cieling---utill then think were o.k.----if I can make 2-3 % on a trade I'm o.k. with that---still think it's a good buy even with the high RSI---