Friday, April 27, 2012

Dax update 26.4.

The variation between stocks has diverged lately, thus giving good stock picking opportunities.


Correlation between index and stocks has been quite high and recently lowering a little bit. I hope it will lower more. If the correlation is very high, it is somehow alerting, because usually correlation rises near or during downtrends.


Risk indicator is already quite high, so there could be 1-3 days consolidation ahead.


Oversold condition easened, but we need to watch this careful.


Trading performance has been quite pleasant lately even the increased positions has caused more volatility.