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MO Rocca

Recs

16

March 26, 2010 – Comments (2) | RELATED TICKERS: MO , ROC

Mo Rocca is funny. Mo Rocca, in fact rocks. But MO really Rock-a's .... eeeeeaaahhhhhhh (groaning crowd at the bad pun).

Okay, I am sorry to keep harping on the one, but I am trying to hammer home the fact that the McClellan Oscillator is signaling a trend change (at least at the Minor Degree). This should be a very tradeable setup. I was pointing this out in MO(e).... MO(e).... MO(e)....., Bearish? Hell Yeah! ... But Is This The "Top"?, Mr. Plow, Rhizome and Tubers.

Let me make this more explicit why I love this chart so much. I have two fast MA's that act as triggers and then a slow MA that is a trend follower. The McClellan Oscillator is a fast indicator. So I chose the slow MA such that it flattens out at the peaks! I was messing around with this chart and the MA's about 6 months ago and found this combination, and I love it! And what is the trend MA doing right now? It has flattened!. The triggers are there to help signal that things are slowing, and that is exactly what we got last week when I was writing about the MO (ad naseum). And it wasn't until Wednesday that we figured out that the pattern was an ending diagonal (it didn't impulse higher, even though it looked like it was going to early in the week). This is powerful stuff !!!



ENLARGE

Trendlines are showing a nice breakdown from the orange line and finding support at the blue. If the MO is telling the truth (and I think it is) then we will break the blue line next week.



ENLARGE

2 Comments – Post Your Own

#1) On March 26, 2010 at 8:39 PM, Tastylunch (29.25) wrote:

Mo Rocca never did it for me, kinda gives off that know it all vibe. That irks me for some reason.

regarding the MO I do like, I've had mixed results using the MO depsite the clarity of reaidng it.

i think you are probably right that we are going to get another dip here, buit to be fair those other dips on your chart weren't necessarily huge, they stayed well within Porte's channel save one.

To me I have hard time seeing major pullback before end of Q1 (3/31) since the money managers will be trying to keep the juice going to gte a good pribnt to show off.

And then  spring is here and I dunno I've just never been a fan of going short in April. Feels like fighting Bull tide. April is a month that just feels bullish in general to me, the weather is nice, proms are happening, baseball season starts,the accoutants are raking in cash for taxes, summer type seasonal employment start to kick in, retailers are loading up on summer season stuff and this year the low income people I've talked to are juiced since they think obamacare is going to help them out...

I could be wrong, heck I'm probably am wrong, but I have feeling this wave will likely last until fall now that it has survived jan/feb.

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#2) On March 26, 2010 at 9:22 PM, binve (< 20) wrote:

Tastylunch,

Hey man!

>>Mo Rocca never did it for me, kinda gives off that know it all vibe. That irks me for some reason.

Really? I think he is awesome! (but I agree, a little "know it all-ish"). He was funny on the Daily Show, and is still funny on Wait Wait Don't Tell Me, but I *loved* him as a judge on Iron Chef America. He was a judge during Battle Bacon and his best line was: "This is the 11th plate, I guess, of bacon we've had. And I just want you to know that if I don't make it out of kitchen stadium alive, I really like your Irish bacon." :) LOL!

>>regarding the MO I do like, I've had mixed results using the MO depsite the clarity of reaidng it.

Gotcha. The MO itself is a very volatile and anticipatory indicator, but getting early signals with trigger MAs and then to have a slower trend following MA has been a slam dunk (as much as one can be) for me from Aug to Nov. Then we had that huge sideways move in Nov/Dec (the MO was no help), and then the Jan sell off, and I let everybody know how this last month has gone for me :( - Putting my last post into perspective: Bears and Idiots - http://caps.fool.com/Blogs/ViewPost.aspx?bpid=355132

>>i think you are probably right that we are going to get another dip here, buit to be fair those other dips on your chart weren't necessarily huge,

That's right, I *do not* think we will crash here. Like I say above, I think this will be a tradeable multi-week (Minor Degree) pullback. But I think we have higher highs coming in the summer like I talked about here: Bearish? Hell Yeah! ... But Is This The "Top"? - http://caps.fool.com/Blogs/ViewPost.aspx?bpid=359845

>>To me I have hard time seeing major pullback before end of Q1 (3/31) since the money managers will be trying to keep the juice going to gte a good pribnt to show off.

Yep. I agree. I think the goes down to 1100-1120 based on Fib ratios. Not a crash, just a correction.

>>I could be wrong, heck I'm probably am wrong, but I have feeling this wave will likely last until fall now that it has survived jan/feb.

Yep, I think we will have a Minor Degree (small wave) pullback to 1100-1120, but an Intermediate Degree (larger wave) move to ~1230 in the Summer, and that will the next most likely spot for Primary 2 to finish up. IMO.

Thanks man!!..

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