is it really that bad?, page-46

Junglewoman

I guess I think SBM is easy to read because it responds to easy charting rules. I have been trading it for a few years now and it seems to respond fairly consistently.

I think SBM works really well with fibonacci levels. Using the high 98c on 3/8/08 as 100% and the low 18c on 6/8/09. The 23.6% line was a clear resistance for a while and then support.

Also the stochastic works well with SBM as a buy signal. I recently waited for confirmation that it was going to hold above 18c but generally you can buy as it is coming up from oversold reliably.

I like it to be on the right side of the bollinger bands but don't really use them to trade except as an early sell signal. They sure do indicate when SBM is out of favour though!

I use 2 x ATR as a stop loss but this will not get you out early. Others got out on the 47c high but I didn't get out until 41.5c.

Still you can never predict what a share is going to do so tight stops are a must expecially with SBM which can fall out of favour fast.

I am not good on fundamentals but I am hoping the new management lives up to its rhetoric. SBM has been good to me and I like the way it moves slowly but when I find something better or I get burnt I will move on.