weekend charting 16-17 july, page-174

Hey CEB!

Jako has done a nice job on PEN - and he's drawn the same major lines I would have.

I haven't held PEN for a while now. I took my initial entry very early in my VSA education and having a look back I wouldn't take the same trade today after learning what I have since - (Actually I would have possibly got in a day early but jumped straight back out).
Anyway - I had to make a hard decision - I liked PEN FA wise but the more I did this VSA stuff - the more I realised I really wanted to trade in the direction of the market - which was down. Not that I wanted to short Penny stocks but why be tied up with long positions when I was just staring at great short setups on the blue chips? So I cut all my losses (and good thing too, because ALL of them kept following the majors down and I started making some money on shares for a change. Really hard to do when you're in a protracted down move and only take long positions until things turn around.
I'm starting to notice lately though that I'm seeing more bullish (VSA wise) charts - I was beginning to think my logic was biased to short trades because they had been the most profitable but I'm now starting to get more interested in the smaller cap stocks again because there are some signs of POTENTIAL strength starting to come in to a lot of them.
The one thing I will say about PEN is that at least there's a bit more distance now timewise from the Japan crash.

Anyway good luck with to all PEN holders - who knows I may join you soon.