As dg mentioned earlier, most stocks went up on No Demand or showed an UpThrust (or a No Demand UpThrust) on Friday, showing at least some short term future weakness.
The XJO (S&P ASX 200) Index also went up on a No Demand UpThrust on Friday.
So rather than saying similar things over and over again, I thought some comparison charts against the XJO, might be interesting.
Tom Williams regularly says that if you are holding long or looking for an entry to go long, you should be looking for stocks that are acting stronger (or as strong at least) as the parent Index.
This is because during a downturn a stock that is acting stronger than the Index will resist falling as much as the Index, and will rise higher, faster, than the Index when things turn bullish.
Whereas a stock that is acting weaker than the Index will fall along with, or further than, the Index in a down turn and will only be dragged up (kicking and screaming) reluctantly, when there is a move to the upside on the Parent Index.
So here are a few.
BHP Daily Market Leader, is almost the Index Itself.
CBA Daily Also a Market Leader of sorts.
AGO Daily Atlas Iron has been acting stronger than the Index for some time. How has it faired ??
LYC Daily Lynas has also been acting stronger than the Index recently.
IDO Daily I have banging on about Indo for a while, as it looked strong just prior to the recent downturn. It's also worth noting that IDO is one of the few stocks I have looked at today, that did not produce a No Demand or UpThrust on Friday. Indo is just a Small Cap so is vunerable when things turn sour, so how did it fair ??
PRR Daily PRR is often requested so how is it going ??
MQG Daily Former Market Leader, looking a bit ugly lately.
