Ideal Trigger Point 0016

PolyOne Corporation (NYSE:POL) is a provider of specialized polymer materials, services and solutions with operations in specialty polymer formulations, color and additive systems, polymer distribution and specialty vinyl resins. They are also a highly specialized developer and manufacturer of performance enhancing additives, liquid colorants, and fluoropolymer and silicone colorants. Headquartered in Avon Lake, Ohio, PolyOne has employees at manufacturing sites and distribution facilities in North America, South America, Europe and Asia. They provide value to customers through their ability to link their knowledge of polymers and formulation technology with their manufacturing and supply chain capabilities to provide value added solutions to designers, assemblers and processors of plastics (their customers).

Industry: Basic Materials | Specialty Chemicals | USA

Never Lose More Than 10% of Your Investment - Jesse Livermore

The 10% loss rule became Livermore’s most important rule for managing money. In some respects, it is also a key timing rule, since it often automatically sets the time to exit a trade—when you have lost 10 percent or more of your invested capital, you must exit the trade .

Also understand that when your broker calls and tells you he needs more money for a margin requirement on a stock that is declining, always tell him to sell out your position. When you buy a stock at 50 and it goes to 45, do not buy more in order to average out your price. The stock has not done what you predicted; that is enough of an indication that your judgment was faulty! Take your losses quickly and get out.

Remember, never meet a margin call, and never average losses. Don’t become an involuntary "investor".

Ideal Trigger Point 0015

TE Connectivity, Ltd.(NYSE:TEL) designs and manufactures highly engineered solutions that connect and protect data and power. The company serves customers in more than 150 countries in a variety of industries including automotive, data communication systems, consumer electronics, telecommunications, aerospace, defense and marine, medical, energy and lighting.

Industry: Technology | Diversified Electronics | Switzerland 

Ideal Trigger Point 0014

Jazz Pharmaceuticals plc (NASDAQ: JAZZ) is an international specialty biopharmaceutical company dedicated to helping patients with unmet medical needs. We identify, develop and commercialize innovative products in focused therapeutic areas, with a strong commercial focus and expertise in narcolepsy, oncology, pain and psychiatry.

Industry: Healthcare | Biotechnology | USA

Why Jesse Livermore thought the "Volume Factor" was so important to value a stock's trend

From the beginning of his trading career, Livermore was keenly aware of the importance of volume. Volume is a key factor in recognizing true Pivotal Points and other recurring patterns. It was obvious to Livermore that as the volume drastically changed in a stock, it was a clear aberration or deviation from the normal behavior of the stock. He would ask himself—was it the volume leading to the blow off, setting the stage for a decline, or was it a real interest in the stock, was it being accumulated getting ready to be driven higher?

Livermore never spent any time looking for the reason why the stock was attracting a lot of volume. He simply took it as an axiom that volume was an alert signal. He knew that the actual reasons why would be revealed later when the chance to make money was gone.

Conversely, if there is heavy volume, but the prices stall and do not go up and make new highs, and there is no strong continuation of the current move, beware. This is often a strong clue, a warning, that the stock may have topped out and the accumulation is over and the stock is now going through a distribution phase.

The end of a market move is usually pure distribution, as stocks go from strong hands into weak hands, from the professionals to the public, from accumulation to distribution. It is often a market move by the promoters of the stock, a deception, to trick the public, who view this heavy volume as the mark of a vibrant, healthy market going through a normal correction, not a top or a bottom.

Livermore was always on the alert for volume indications as key signals at the end of a major move, either in the entire market itself or in an individual stock. Also, he observed that at the end of a long move, it was not uncommon for stocks to suddenly spike up in a straight shot with heavy volume and then stop and roll at the top, exhausted. Then they would retreat, downward—never to make a new high before the onslaught of a major correction.

Many technical traders place little importance on volume—not so with Jesse Livermore. The study of volume was a key element to be carefully analyzed at critical moments of a stock’s life and history.

Ideal Trigger Point 0013

Amgen Inc.(NASDQ: AMGN) is a Delaware corporation incorporated in 1980. The Company is a biotechnology medicines company. It discovers, develops, manufactures and delivers innovative human therapeutics. Its medicines help patients fight against cancer, kidney disease, rheumatoid arthritis (RA), bone disease, and other serious illnesses. The Company operates in one business segment which includes human therapeutics.Industry: Healthcare | Biotechnology | USA

What Did Jesse Livermore Think Of Break-Out to A New High or A New Low

Livermore was one of the first people to realize that stocks breaking out to new highs often took off from there and had astounding runs. Large profits can be derived from this simple fact. 

Livermore’s logic was always simple and to the point. New highs or new low break-outs were always good news for Jesse Livermore. The theory behind heeding this pattern was that Livermore had observed that people do not want to sell their stocks for a loss. So, if they missed selling on the high, which happened to the bulk of investors, they would sit with the stock through thick and thin and, when it rallied, if it did in fact rally, and proceeded to get back to the old high, they would dump their stock to recoup their losses. So, when the stock broke out to new ground above the old high this meant to Livermore that all that old overhanging stock was now cleared out of the way. This meant clear sailing ahead, in most cases. So, he was in effect buying the stock when the majority of people had sold theirs and when the stock was in position to make a new run.

Conversely on the short side, new lows mean people have given up on the stock and are now dumping it, throwing it overboard to get whatever they can for it.

Why these formations repeat themselves is unknown. Livermore attributed this repetition to human nature: “All through time, people have basically acted the same way in the stock market as a result of greed, fear, ignorance and hope—that is why the formations and patterns recur on a constant basis. The patterns trader observes are simply the reflections of human's emotional behaviors.”

Ideal Trigger Point 0012

CalAmp Corp (NASDQ: CAMP) develops and markets wireless communications solutions that deliver data, voice and video for critical networked communications and other applications. CalAmp’s two business segments are Wireless DataCom, which serves utility, governmental and enterprise customers, and Satellite, which focuses on the North American Direct Broadcast Satellite (DBS) market.

Industry:Technology | Communication Equipment | USA