GKP

People always think that the share price is going to run away from the current price.
When a share is rising its best to wait for the reversal.
What goes up must come down.
If shares just kept going higher then everyone would be millionaires
Just look at any chart of any share. You can clearly see prices go sideways , go up, go down. There the three states of a share.
sideways markets are the hardest to trade. Should be avoided... To risky on stoplosses..
Up trends...The easiest to trade as you are going with the trend if your long.
Down markets...Also easy to trade as long as your short..... Most people will be looking to go long in this market and get burnt to crisp.Going against the trend.

So bottom line is: Always go with the trend..
Trends can be drawn by trend lines or moving averages so people should learn this first.

livenow; yes, looks like 203-87-450-current is Primary wave II (well done to wavesurfer and others who thought this - i didn't!). It could still go lower but there's a chance of a higher low being put in today.

MtM; I'm afraid your stop probably got hit this morning as it dropped through 100p (probably a move specifically to hit stops just below that 100p level). The subsequent bounce suggests a higher low *may* be being put in today. Needs to follow through tomorrow with a candle that has a higher low and a higher high and then a break above 110p. Even then it's not really a clear 123-low breakout as the initial bounce high isn't obvious on the daily.

Its such a simple thing to do but most people dont do it. People use emotions to trade and hence there bad trades. Its easier said than done..lol

manfrombrussels wrote: "Always Buy at support and nothing else."

Some great advice on here, but I am going write this down where I can see it most days.

"Always Buy at support and nothing else."

Some great advice on here, but I am going write this down where I can see it most days.

Hi Minethemoney
why did you put the stop at 98?????...Cant see the reason for this level.
Stops should always be placed below a support level. From current levels the nearest support is at 86 so the stops should go just below this level.Maybe 84...
As for the gap getting filled...Its always possible but gaps can some times take years to fill. There is also a gap at 53.75 so there is gaps that can be filled in both ways. The higher gap at 143 will be strong resistance now as this has 2 levels of resistance together so will be a stumbling block for GKP.A good area to short this on a first attempt.Also 126 is strong resistance as well as that level has history.
The green light for GKP will come once a 123 low forms and higher highs follow. This has not had one for a while now so thats what you should be looking for before buying ..
If you like a share, then the only place you ever buy into the company is at a support level. Dont buy at any other level,by doing this you are buying with the crowd of technicians so your odds are better.
Most beginners will just buy at any price then they will argue the point from a fundamental perspective.
Always Buy at support and nothing else.


dl.dropboxusercontent.com/u/4899609/gkp27thmarch2014.png

Support: 86,,,64,,,53.75(gap)
Reistance: 126,,,143(gap)

Hi Jackozy,

No you weren't patronizing in at all, constructive criticism.

I have paid for a premium account as you suggested and will at some point sell GKP at a break even or small loss.

I have placed a stop loss at 98p this is likely to get taken out tomorrow looking at my amateur chart. Do you think the gap won't get filled? The MACD is turning positive and the RSI is still oversold. Technically this must count for something?

[IMG] imageshack.com/a/img23/5747/gq19.jpg [IMG]