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First Solar, Inc. Message Board

  • luckyone581 luckyone581 Dec 7, 2012 11:57 AM Flag

    Chart Trading Key to FSLR right now

    I get the biggest kick out of hearing all the different opinions being voiced by people that simply are opening their mouths to opine without any intelligent thought behind their words.

    Here is the key to trading FSLR for the time being.

    The stock broke above both the 50 and 100 10-minute MA's, currently at 30.60 and 30.20 respectively, on November 19th (13 trading days ago). Since then, the stock has not broken both lines "convincingly". The stock broke below both lines slightly when volatility was being seen right after the breakout above 26.31 and the breakout was being tested, but the break that occurred then was slight and was not convincing. In addition, the 50 10-minute MA did not cross below the 100 10-minute MA meaning that the sellers did not have any kind of an edge.

    As long as those 2 lines do not get broken the stock will continue to forge higher with strength. As long as the 50 10-minute MA does not cross convincingly below the 100 10-minute MA, the traders will stay long and continue to buy, buy, buy.

    Keep in mind that these lines are on the 10-minute chart and therefore very sensitive but they are lines the professional traders follow closely to keep up with a trend such as being seen right now where a stock is on a breakout and no resistance and not much support is found on the daily chart.

    The stock is likely to continue to go down to the lines time and time again but not break them convincingly and certainly not have them cross until such a time that some indicative selling comes in.

    As such, it must be "assumed" the uptrend continues as nothing negative has happened on that chart. By the same token, when it does happen and it will at some point, the traders will start taking profits on their long positions and you might have some kind of a correction.

    If everyone just watches this on the chart, you will be able to make more sense in your posts when you do make them. Otherwise, you are just blowing hot air through your behind and looking like a fool, this applies to both the bulls and the bears.

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    • Hey Lucky,
      First I like the name.
      Secondly, thanks for your sophisticated analysis.
      Thirdly, what other stocks are you trading these days and how many trades do you do a day (or week)?
      Regards,
      Dog

    • The House always wins

      Have you seen any signal that the House run toward a different direction?

      I mean other than up?

      LOL

    • Thanks luckyone, ur one of the few intelligent posters on this board and being a technical trader myself, I enjoy reading ur chart updates...

      Sentiment: Buy

    • Stock is having a reversal day with higher highs, lower lows and presently trading below yesterday's low. The 14-day uptrend on the 10-minute chart in which the stock had not broken below the 50 and 100 10-minute MA's has now been broken suggesting that at the very minimum a small correction that will last at least 2 days (if not more) is occurring. Nonetheless, the 200 10-minute MA, currently at 29.05 has not been broken meaning that the stock maintains the uptrend and that this may just be a short pause. Nonetheless, if the 200 10-minute MA is broken, then the stock is likely to go into a full blown correction as well as a retest of the breakout level down at 25.70. That is yet to be decided but the door has now opened for that to happen.

      There is no fundamental news that I have seen to have created this drop, just that the professional day and short-term traders took profits on their long positions.

      The close today now is very important as a red close means further downside will be seen tomorrow below today's low at 29.29 (so far). A green close will make this just a retest of the $30 psychological support and the uptrend will likely resume after a couple of days of trading around $30.

      Difficult to say at this time (until the close) what the traders are thinking but this sell off in which both the 50 and 100 10-minute MA's got broken is a clear sign that some indicative selling has come in above $31 and that it is going to take some backing and filling and support building before it will be broken.

      I may take some of my long positions off at the end of the day if the stock is closing in the red.

 
FSLR
52.85-2.00(-3.65%)May 3 4:00 PMEDT