I don't believe in prediction or timing and a lot of other stuff but I do believe the trend here with erts is still up.
I thought you were a trend follower, thats why I recommended your earlier post - the trend is your friend until the end when it bends. You should check out http://www.turtletrader.com and the book.
1. notice the MACD roll over?
2. i didnt say erts would always have more downside risk than upside potential. infact, all i said was that the trend right now is downward and the stock price most likely be capped by its moving average...of course until it consolidates for another move up.
3. the chart of the bearish 50 day crossover with the 200 day is supposed to excite me?
i agree the market has been pretty ugly and erts has joined the party. i think there will be a time to go long, just dont think this is it...until the technicals improve. im no master chartist and this is just my interpretation. if im wrong, then ill probably add fuel to a short covering rally, if im right, this should be money in the bank. just remember, for a trade to happen, there has to be both a buyer and a seller.
I know, zoom out.
You probablly have noticed that erts has been pulled down with the broader market in the last 6months. You'll see your downward sloping trading channel all over the place.
one day only makes for one up day, not a trend. the 50 has rolled over, the 200 is about to and this stock is trading under both. i give it a high on the bounce of 49ish, if it can break there with volume, then maybe there is a trend change. cant get em all right, but this stock is definately in a downward sloping trading channel capped by its moving average. ill be glad to go long if it breaks out, but for now, ill stay short thanks.
ps: where can you show me that there is an up trend in place?
not so, the trend is still in tact. erts is having a nice rally today though, congrats. the 50 day ma is sloping down and bearishly crossed the 200 day. erts is trading below the 50day. today is nothing more than a bear rally from an oversold condition. it will take a lot of work to repair this. enjoy your day, hope u bought the recent low and are ready to sell soon.
ive been around long enough to know two things...stocks dont ussualy go straight up or straight down, and they keep their trend until the trend changes. this stock is clearly in a down trend. will it be up again? probably, odds right now are on the other side of the trade though. will this change? absolutely.