An amazingly accurate chart that makes me wonder: why? how is it possible?
The return since the mid-range strength line turning green is about 100%!
It's this kind of results that make my research work using math, statistics and common senses so rewarding - even if it's not translating to good return on my own investment (due to my mistakes)! There is so much to learn and experiment with ...
Cheer up!
Value is often a trap when it comes to stock investing, but when it means cash in the bank, I'd better believe in it!
That's a lesson I've learned recently from the recovery, in many cases the doubling from the lowest, of stock prices of many small-cap stocks such as OVTI, SIGM and JRJC: value does matter and one should have some faith in companies when they have a clean balance sheet, are not burning cash at an alarming rate, and people are selling them at or below cash value! In most cases, the prices were depressed because of bad news and people's fear of more bad news. When the bad news stops, even a relief rally can be very powerful. [It's hard to predict when the bad news stops though ...]
I wish I had bought/kept the stocks of the above-mentioned companies, but those opportunities are gone. However they do make me feel much better with some of my current holdings that, I believe, are ridiculously priced at the moment. Have faith in them and be patient.
On other developments, oil price is moving higher on US inventory data and China's new stimulus plan. I have a feeling it is moving even higher.